| Program Outcomes |
| PO-1 | Knowledge about management processes and management skills | | PO-2 | Knowledge and application skills related to the methods and competencies required for solving engineering problems | | PO-3 | Knowledge about developing areas of manufacturing and service sectors | | PO-4 | Ability to work in multi-disciplinary engineering teams | | PO-5 | Experience and knowledge of scientific research and publishing within the frame of academic ethics | |
| Learning Outcomes |
| LO-1 | Recall cost definitions and identify the differences between variable and fixed costs, use cost concept details to determine the least cost one form among several alternatives. Calculate the breakeven point and make a simple sensitivity analysis over fixed, variable costs and price changes. Interpret the breakeven point to make investment appraisal, to make or buy decision and to determine best alternative. | | LO-2 | Calculate profitable domain and optimum production volume and interpret the results for a given non-linear cost function. Solve cost driven design optimization and present economy problems. Calculate simple and compound interests for given interest period, rate and principal amount. Apply equivalence concept and diagram cash flows. | | LO-3 | Employ interest conversion factors for present to future, future to present, present to annuity, annuity to present, future to annuity and annuity to future for solving equivalence problems. Use gradient series with interest factor conversion to all other cash flow patterns in financial problems. Solve multiple interest factor problems with varying interest rates. | | LO-4 | Calculate present worth, future worth, annual worth, net present value (NPV), internal rate of return, the external rate of return, simple and discounted payback periods and benefit/cost ratio for evaluating single project under time value of money concept. Appraise investment opportunities based on the results of equivalent worth, rate of return and/or payback period methods. | | LO-5 | Use present worth, future worth, annual worth, internal rate of return, external rate of return, and benefit / cost ratio method to compare investment and cost alternatives with same or different useful lives. Calculate depreciation deduction amounts using declining balance and straight line methods. Use after-tax analysis to solve engineering economy problems. | | LO-6 | Convert actual cash flow to real cash flow for given inflation rate. Calculate actual or real present worth, future worth, annual worth, internal rate of return for given inflation rate, combined interest rate or real interest rate. Use break even and sensitivity analysis as non-probabilistic approaches to understand and interpret the effect of uncertainty in engineering economy studies. Solve engineering economy problems when one of the cash flow parameters is given as a random variable following a certain distribution function such as normal or uniform distribution. | |
