Engineering Economy – ENGI 220

CG • Section 8WK • 07/01/2018 to 12/31/2199 • Modified 04/07/2022

Course Description

Introduction to the principles of time value of money, analysis of investments, break-even concepts, risk analysis, alternatives analysis, tax implications, certainty and uncertainty.

For information regarding prerequisites for this course, please refer to the Academic Course Catalog.

Rationale

The engineering degree programs are designed to develop Christ-centered men and women with the values, knowledge, and skills essential to positively influence engineering-related industries in the current and evolving economy. The programs prepare graduates for the thoughtful integration of work and life and to view the engineering profession as a lifelong commitment to serving others. Within a few years of graduating, engineering graduates will be able to advance in an engineering career or graduate studies, be recognized as creative thinkers exhibiting an aptitude for continuous learning, and display professional ethics and behavior consistent with foundational Christian principles.

This course introduces the engineering student to the analysis of the economic aspects of a vast number of problems both in the business world, as well as one’s personal life. The student learns and applies the techniques to solve problems and the decision-making process within an economic context and economic constraints.

Measurable Learning Outcomes

Course Learning Outcomes

The student will be able to:

  1. Understand and apply fundamental concepts and use the terminology of engineering economics. (SO: 1, 3, 7)
  2. Derive and use the engineering economy factors to account for the time value of money. (SO: 1, 7)
  3. Use multiple factors and spreadsheet functions to find equivalent amounts for cash flows that have nonstandard placement. (SO: 1)
  4. Make computations for interest rates and cash flows that are on a time basis other than a year. (SO: 1)
  5. Utilize different techniques (present worth, annual worth, future worth, rate of return, benefit/cost) to evaluate and select alternatives and communicate the results. (SO: 1, 3)
  6. Perform a replacement/retention study between an in-place asset, process, or system and one that could replace it and communicate the results. (SO: 1, 3)
  7. Select independent projects for funding when there is a limitation on the amount of capital available for investment and communicate the results. (SO: 1, 3)
  8. Determine the breakeven for one or two alternatives and calculate the payback period with and without a return required and communicate the results. (SO: 1, 3)
  9. Expound and contrast the Biblical versus societal views of money (SO: 3, 4)

 

Relation to Student Outcomes

SO

Outcome Description

Level

Demonstrate Proficiency

1

Ability to identify, formulate, and solve complex engineering problems by applying principles of engineering, science, and mathematics

E

Mid-Term & Final Quiz, Reading Assessment Quiz, Problem Sets

2

Ability to apply engineering design to produce solutions that meet specified needs with consideration of public health, safety, and welfare, as well as global, cultural, social, environmental, and economic factors

N

 

3

Ability to communicate effectively with a range of audiences

R

Mid-Term & Final Quiz, Papers & Presentations, Discussions

4

Ability to recognize ethical and professional responsibilities in engineering situations and make informed judgments, which must consider the impact of engineering solutions in global, economic, environmental, and societal contexts

I

Papers & Presentations

5

Ability to function effectively on a team whose members together provide leadership, create a collaborative and inclusive environment, establish goals, plan tasks, and meet objectives

N

 

6

Ability to develop and conduct appropriate experimentation, analyze and interpret data, and use engineering judgment to draw conclusions

N

 

7

Ability to acquire and apply new knowledge as needed, using appropriate learning strategies

I

Reading Assessment Quiz, Problem Sets, Discussions

 

N = none; I = Introduced; R = Reinforced; E = Emphasized

 

Course Assignment

After reading the Course Syllabus and Student Expectations, the student will complete the related checklist found in the Course Overview.

Discussions use the SEEI method to discuss economic topics. The SEEI is a method of clarification and understanding. It stands for State, Elaborate, Exemplify, and Illustrate. The student is required to create a thread in response to the provided prompt for each forum. Each thread must be at least 250 words, providing citations as appropriate. In addition to the thread, the student is required to reply to the threads of at least 2 classmates. Each reply must be at least 125 words. (LO 3, 7)

There will be one mid-term quiz during the term as well as a comprehensive final quis.  The purpose of quizzes is to reinforce the learning process and validate the student’s comprehension and retention of the material covered.  Solutions are expected for all problems.  An ‘answer’ is the final numerical value corresponding to the question asked in the problem.  By contrast, a ‘solution’ is more in that it also includes the argument/reasoning/ work that leads to the answer.  Quizzes may be administered online in McGraw Hill Connect. (LO: 1, 3)

There will be two papers required for this course, a shorter paper dealing with financial wisdom and a longer paper requiring research of an engineering economy topic on a contemporary issue.  The research paper findings and conclusions will be submitted in report format and also presented orally. (LO: 3, 4)

There are 14 Reading Assessment quizzes. A Reading Assessment (RA) measures the student's preparation for engaging new course material. Reading assessments are completed in the McGraw Hill Connect platform and have an unlimited number of trials to answer the questions correctly prior to the due date. The RAs use the Connect SmartBook interactive study tool that adaptively assesses students' skill and knowledge levels to track which topics students have mastered and which require further instruction and practice. Based on student progress, it then adjusts the learning content based on their knowledge strengths and weaknesses, as well as their confidence level around that knowledge.  (LO: 1, 7)

There will be 14 graded problem set assignments for the sections of the assigned text covered.  The purpose of the assignments is to reinforce material covered during the reading and study class activities. (LO: 1, 7)