Time Schedule:
Edwin Seiichi Miyata
IND E 250
Seattle Campus
Basics of industrial cost analysis and accounting. Application of interest computations to engineering decision making. Analysis of engineering alternatives based on use of interest computations, valuations, depreciation, and cost estimates. Offered: ASp.
Class description
This course will cover (1) Basics of Financial Information and Interest Rate and Economic Equivalence (2) Economical Evaluation of Business and Enginering Alternatives, and (3) Analysis of Project Cash Flows.
Student learning goals
Students will understand the following things: (1) Financial Statements.
(2) The time value of money and how to compare two or more alternatives by means of the calculation of economic equivalence.
(3) Nominal and effective interest rates and equivalence calculations with effective interest rates.
(4) How engineers evaluate the profitability of a business project by considering the time value of money (present-worth, future worth, annual equivalent-worth, and rate of return analysis.)
(5) Cost concepts for making business decisions.
(6) Estimating profit from production and depreciation and corporate taxes.
General method of instruction
Recommended preparation
Class assignments and grading
