Fundamentals of Engineering Economics
- New Delhi Wiley India Pvt. Ltd. India 2015,c2012
- 486
Fundamentals of Engineering Economics highlights the importance of economics in engineering and helps engineers in financial decision making. It provides comprehensive coverage of the subject from basic principles to state-of-the-art concepts and applications. The coverage of the topics in this book is very wide, and every care has been made to cover maximum syllabi of all major universities and institutions in India.
This book is common to all students in engineering discipline and is very useful in evaluating the economic merits and demerits of various solutions to engineering problems. Moreover, readers from different backgrounds will find the material in this book easily understandable. Engineering problems may involve the decisions related to resources and their allocation. Engineering economics is closely associated with conventional microeconomics; but here, its focus is on problem solving at operational levels.
In this book, basic economics that are applicable in engineering education such as demand and supply, production function, introduction to micro- and macroeconomics have been incorporated besides the financial decision making
Contents 1 Introduction to Engineering Economics
1.1 Introduction
1.2 Concept of Efficiency
1.3 Theory of Demand
1.4 Elasticity of Demand
1.5 Supply and Law of Supply
1.6 Indifference Curves
1.7 Budget Line
1.8 Welfare Analysis
2 Managerial Economics
2.1 Introduction
2.2 Scope of Managerial Economics
2.3 Techniques of Managerial Economics
2.4 Applications of Managerial Economics
3 Market Structures
3.1 Introduction
3.2 Perfect Competition
3.3 Monopoly
3.4 Monopolistic Competition
3.5 Oligopoly
3.6 Duopoly
3.7 Monopsony
3.8 Monopoly and Monopsony: A Comparison
4 Demand Forecasting and Cost Estimation
4.1 Introduction
4.2 Forecasting Horizons
4.3 Steps to Forecasting
4.4 Forecasting Methods
4.5 Seasonal Adjustments
4.6 Forecasting Performance Measures
4.7 Cost Estimation
4.8 Elements of Cost
4.9 Computation of Material Variances
4.10 Break-Even Analysis
5 Concepts in Management
5.1 Introduction
5.2 Characteristics of Management
5.3 Scope of Management
5.4 Classical School of Management
5.5 Functions of Management
5.6 Levels of Management
5.7 Skills of Management
5.8 Managerial Roles
5.9 Administration and Management
6 Project Management
6.1 Introduction
6.2 Features of a Project
6.3 Types of Projects
6.4 Project Management Life Cycle
6.5 Project Appraisal
6.6 Project Structure
6.7 Terminologies Used in Project Scheduling
6.8 Network Conventions
6.9 Project Crashing (Optimization through CPM)
7 Productivity
7.1 Introduction
7.2 Types of Production Systems
7.3 Production and Productivity
7.4 Efficiency
7.5 Effectiveness and Productivity Index
7.6 Productivity Cycle
7.7 Factors Influencing Productivity
7.8 Ways to Improve Productivity
8 Value Engineering
8.1 Introduction
8.2 Types of Values
8.3 Seven Phases of Value Analysis
8.4 Application of Value Analysis
8.5 Value Analysis Questionnaire
8.6 Advantages of Value Analysis
8.7 Value Analysis of a Graphite Pencil by Matrix Method
8.8 Function Analysis System Technique
9 Time Value of Money
9.1 Introduction
9.2 Simple Interest
9.3 Compound Interest
9.4 Present Worth Analysis
9.5 Future Worth Analysis
9.6 Annual Cash Flow Analysis
9.7 Rate of Return Analysis
9.8 Arithmetic Gradient
9.9 Geometric Gradient
9.10 Continuous Compounding
9.11 Normal and Effective Interest Rate
9.12 Perpetual Payment
10 Project Evaluation
10.1 Introduction
10.2 Determining Minimum Attractive Rate of Return
10.3 Payback (Payout) Period Method
10.4 Benefit-Cost Ratio
11 Comparison among Alternatives
11.1 Introduction
11.2 Basis for Comparison of Alternatives
11.3 Study Period
11.4 Useful Lives of Alternatives Are Equal to the Study Period.
11.5 Useful Lives of Alternatives Are Unequal
11.6 B-C Ratio Method for Comparison of Alternatives
12 Depreciation and Taxes
12.1 Introduction
12.2 Some Important Terms Used in Depreciation
12.3 Classical Depreciation Methods
12.4 Modified Accelerated Cost Recovery System
12.5 Taxes
13 Replacement Analysis
13.1 Introduction
13.2 Reasons for Replacement Analysis
13.3 Lives of Assets
13.4 Determining the Economic Life of a Challenger
13.5 Determining the Economic Life of a Defender
13.6 After-Tax Replacement Studies
14 Decision Making
14.1 Introduction
14.2 Types of Decision-Making Environments
14.3 Decision Tree Analysis
14.4 Multiple Criteria Decision Making
15 Concept of Financial Statement
15.1 Introduction
15.2 Sources of Company Information
15.3 Sources of International Economic Data
15.4 Financial Analysis
15.5 Financial Statement
15.6 Trading Account
15.7 Profit and Loss Account
15.8 Balance Sheet Requirements
15.9 Distinction between Profit and Loss Account and Balance Sheet