Engineering Economics Notes: Engineering Economics is an important subject having some vital concepts of economics, correlating with Engineering fields. The article contains all the necessary materials that will help the students for the preparation of the subject and understand all the included concepts in-depth.
Engineering Economics plays a crucial role in Engineering students in their course. It helps the students in understanding the importance of Economics and its various concepts that will help them in effective decision making in the future. Students can refer to the Big Data Lecture Notes For CSE as per the latest and updated syllabus from this article.
The theories and concepts of Economics help in taking decisions for the changing stats and performance of an organisation. The concepts mainly deal with important economic principles like that of Demand, cost, pricing, production, trade cycles, competition, national income, and many others.
There are some notes and study resources available in this article, designed precisely by the experts of the subject. Before selecting the faculties for the compilation of the best lectures and notes, we have them go through a series of rigorous tests to come up with the best experts with immense knowledge of each concept of the subjects. Apart from the notes, there is also a brief description of some best reference books from across the globe. The experts with extreme knowledge, experience, and certifications are the authors of these books, and these are the globally recommended ones for any candidate aspiring to learn the subject well.
We have also included the syllabus of Engineering Economics as approved by several top institutions, and these will serve as the best resource for the Engineering students to know about the included topics in this entirely new subject. Adding all the resources together and then moving on to the preparation will serve the students best in having an immense preparation for the subject and will help them score well in the institution as well as the competitive-level examinations.
Moreover, the added list of questions from the article will serve the students in having a clear idea about the type of questions asked from various topics and how they must prepare themselves for the examinations.
Here is a list of all the resources included in this article that will help the students desiring to prepare well for Engineering Economics:
- Introduction to Engineering Economics
- Engineering Economics Reference Books
- Engineering Economics Curriculum
- List of Engineering Economics Important Questions
- Frequently Asked Questions
- Conclusion
Introduction to Engineering Economics
With the growing complexity in design and manufacturing procedure, Engineers are also required to make some major decision involving money and other vital resources. Thus, to accurately estimate the requirements and come up with the best solutions requiring lower costs, an Engineer must have a clear understanding of the concepts of Engineering Economics.
This subject concerns with the sequential evaluation of benefits and costs of a project, involving the analysis and designing methods of the Engineers.
Engineering Economics helps in quantifying the cost and benefits related to the Engineering projects for determining whether they could save more money, warranting the capital investments, or not. Engineering Economics need better applications of Engineering analysis and designing principles for providing the services and goods that might satisfy the customers best and are affordable for them. The subject is also related to the designing engineers.
Engineering Economics includes sequential evaluation of economic benefits for proposed solutions of several engineering issues. It involves technical analysing with a focus on the economic aspects and objectives of assisting in decisions. The subject’s concepts align closely with Conventional Micro Economics and are extremely devoted to certain decision making and problem-solving at operational levels.
Engineering Economics Notes and Study material PDF Free Download
Expertly designed notes are available for topic-wise descriptions of several topics for the students learning Engineering Economics. The experts precisely design the notes, understanding the needs of all type of students in mind. The descriptions are available in an easier language for helping the students understand the concepts well.
Furthermore, we provide the notes and study material, having all the concepts for having the best preparation for the examinations. After going through the approved topics of the prominent institutions, we include them all and also add examples and questions for them to help the students get the best-ever practice.
The study materials and notes also carry the list of some important questions apart from the solved problems to motivate the students to practice more questions without having to search for them.
The notes provided in the article are available in Pdf format, ensuring that the students do not have to face any hassles in searching for the contents at various sites, and can easily access them at a single go. Moreover, they are easily downloadable and accessible on any of the devices.
Engineering Economics Reference Books
Reference books are the other recommendable sources to grasp full knowledge about all the concepts of any subjects. Not just for the institution-level preparations, but these reference books also play a significant role in competitive examinations. Some highly credited experts from world-wide are the authors of these reference books, and thus the books have all the brief descriptions of several inter-related concepts.
The books contain proper descriptions about the topics along with the relevant examples for various topics and solved and unsolved question-sets. Books are the best resources to understand the concepts from the best professionals and how they describe every topic.
Here is a list of some top reference books available for Engineering Economics, and the students can choose the best ones satisfying their interests and needs:
- Panneer Selvam, R., “Engineering Economics”, Prentice Hall of India Ltd, 2001.
- Smith, G.W., “Engineeri1ng Economy”, Lowa State Press, 1973.
- Park, C.S., “Contemporary Engineering Economics”, Prentice Hall of India, 2002.
- Newman, D.G. and Lavelle, J.P., “Engineering Economics and Analysis”, Engineering Press, 2002.
- Degarmo, E.P., Sullivan, W.G. and Canada, J.R, “Engineering Economy”, Macmillan, 1984.
- Grant, E.L., Ireson, W.G. and Leavenworth, R.S., “Principles of Engineering Economy”, Ronald Press, 1976.
Engineering Economics Curriculum
Curriculum and syllabus is the other more crucial thing that is necessary while studying any subject and learning about all its concepts. Whether it is for the university-level preparations, for competitive-level preparations, or just for the personal interests, having an entire and well-developed syllabus, helps in understanding the sequence of learning to be followed and what all topics must be covered during the learning process.
The curriculum is the sequential description of the included topics and concepts of any subject. When learning Engineering Economics, for the engineering students, the syllabus is very important. Since the subject is an entirely newer one for the engineering students and they are even not aware of its basics, learning the whole subject according to the syllabus will help the students in clearly understanding the topics and avoiding any types of confusions.
Given below is the updated syllabus of Engineering Economics according to some prominent institutions:
| UNIT I: INTRODUCTION TO ECONOMICS |
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| UNIT II: VALUE ENGINEERING |
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| UNIT III: CASH FLOW |
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List of Engineering Economics Important Questions
Apart from all the notes, reference books, textbooks, and the curriculum, it is also important to refer a list of some highly important questions of the different topics to have a clear idea about the question types, and how one must prepare for several examinations. The list of important questions also helps the students in preparing well according to the question types, and this will also ensure that the students will not miss any important topic while learning and practising.
Here is a list of a few important questions for Engineering Economics to help the students practice well:
- What is the elasticity of Demand?
- Define the term `cost’?
- What is the opportunity cost?
- What do you mean by marginal cost?
- Explain marginal costing?
- What is meant by marginal revenue?
- Give a short note on sunk cost?
- List out the elements of cost?
- Define the term costing?
- What is the Break-even point?
- Define P/V ratio.
- What do you mean by `Make or Buy Decisions?
- What are the different approaches followed in the make or buy decision?
- What is mean by value analysis/value engineering?
- What do you mean by the value of a product?
- What are the different types of values?
- What are the various functions of a product?
- Write any four objectives of value analysis.
- List any four advantage of value engineering.
- What is revenue dominated cash flow?
- What is the cost of dominated cash flow?
- Mention the various rate of return method.
- What is the rate of return?
- What is the present worth method?
Frequently Asked Questions on Engineering Economics Notes
Question 1.
What is Engineering Economics?
Answer:
Engineering Economics is a branch of economics that deals with the uses and applications of several principles of economics, related to engineering. It is useful in making engineering analysis related decisions.
This subject mainly focuses on microeconomics, where the behaviour of individuals and firms are precisely learned. Engineering Economics highly focuses on several decision-making processes and helps in coming out with the most effective design with limited cost requirements. The subject also has correlations with other subjects like statistics, cost accounting, and mathematics, and draws the logical frameworks of economics with added analytical powers.
Question 2.
Explain the characteristics of Engineering Economics?
Answer:
Engineering Economics has certain special characteristics, which are as follows:
- It aligns closely with microeconomics.
- It is mainly concerned with decision-making and problem-solving methods of operations.
- It might lead to the optimization of certain conditions where a solution satisfies the tactical aims for strategic effectiveness.
- It is useful for identifying the alternative usage of limited resources and selects the preferred action.
- It is pragmatic and removes complications and issues from economic theory.
- It mainly makes use of the body of economic concepts and principles.
- It integrates economic theories with engineering practices.
Question 3.
Explain in brief the steps involved in the decision-making process in Engineering Economics.
Answer:
Decision-making process in Engineering Economics involves seven major processes, which are as follows:
- Recognizing, defining, and evaluating the problem.
- Searching for the potential and feasible alternatives for the solutions.
- Coming up with the basic approach of cash flow.
- Selecting the decision to serve the longer-term interests of the organisation.
- Analyse the economic aspects of several engineering problems and issues.
- Selecting the best-preferred alternative.
- Paying attention to ensuring feedback for improvements.
Conclusion
Engineering economics is an entirely new subject for the engineering students, and this article contains every necessary resource to help boost the preparation of the subject for the students. The article comprises expertly designed notes and world-class reference books too for the subject, which will help the students get the best professional assistance and learn the subject well.