Engineering Economy (IE305) Course Detail

Course Name	Course Code	Season	Lecture Hours	Application Hours	Lab Hours	Credit	ECTS
Engineering Economy	IE305	6. Semester	2	0	0	2	5

Pre-requisite Course(s)
N/A

Course Language	English
Course Type	Compulsory Departmental Courses
Course Level	Bachelor’s Degree (First Cycle)
Mode of Delivery	Face To Face
Learning and Teaching Strategies	Lecture, Question and Answer.
Course Coordinator
Course Lecturer(s)	Instructor Dr. Hakan Ömer Tunca
Course Assistants
Course Objectives	This course aims to introduce the economic dimension of evaluating and selecting alternative investment projects. By the end of the course, the student will be able to investigate engineering economy problems, and formulate and solve such problems using appropriate conceptual and mathematical skills and modeling structures.
Course Learning Outcomes	The students who succeeded in this course; Will be able to identify the principles and methods necessary to evaluate and select engineering alternatives. Will be able to discuss the concepts of time value of money and interest rates. Will be able to recognize, formulate, and analyze cash flow models in practical situations. Will be able to analyze cash flow series using present value, future worth, annual worth, and rate of return methods. Will be able to develop cash flow series considering the effects of depreciation, taxes and inflation Will be able to analyze decision problems related to equipment replacement. Will be able to interpret economy studies and investment decisions in the public sector.
Course Content	Economic analysis for engineering and managerial decision-making; cash flows, effect of time and interest rate on money and physical assets; methods of evaluating alternatives: present worth, future worth, annual worth, rate-of-return and benefit/cost ratios; depreciation and taxes; effects of inflation.

Weekly Subjects and Releated Preparation Studies

Week	Subjects	Preparation
1	Introduction and Estimating Costs	[1] Chapter 11
2	Foundations of Engineering Economy	[1] Chapter 1
3	Foundations of Engineering Economy	[1] Chapter 1
4	How time and interest affect money	[1] Chapter 2
5	How time and interest affect money	[1] Chapter 2
6	Nominal and effective interest rates	[1] Chapter 3
7	Present worth analysis	[1] Chapter 4
8	Midterm
9	Annual worth analysis	[1] Chapter 5
10	Rate of return analysis	[1] Chapter 6
11	Benefit/Cost analysis and public sector projects	[1] Chapter 7
12	Effects of inflation	[1] Chapter 10
13	Depreciation methods	[1] Chapter 12
14	After-tax economic analysis	[1] Chapter 13
15	Recitation
16	Final Exam

Sources

Course Book	1. Basics of Engineering Economy, Leland Blank, Anthony Tarquin, McGraw-Hill Education
Other Sources	2. Contemporary Engineering Economics, CS Park, 3rd Edition, Addison Wesley, 1997.
	3. Engineering Economy, GJ Thuesen & WJ Fabrycky, 9th Edition, Prentice Hall, 2001

Evaluation System

Requirements	Number	Percentage of Grade
Attendance/Participation	-	-
Laboratory	-	-
Application	-	-
Field Work	-	-
Special Course Internship	-	-
Quizzes/Studio Critics	-	-
Homework Assignments	-	-
Presentation	-	-
Project	-	-
Report	-	-
Seminar	-	-
Midterms Exams/Midterms Jury	1	40
Final Exam/Final Jury	1	60
Toplam	2	100

Percentage of Semester Work	40
Percentage of Final Work	60
Total	100

Course Category

Core Courses
Major Area Courses
Supportive Courses	X
Media and Managment Skills Courses
Transferable Skill Courses

The Relation Between Course Learning Competencies and Program Qualifications

#	Program Qualifications / Competencies	Level of Contribution
#	Program Qualifications / Competencies	1	2	3	4	5
1	Knowledge of mathematics, natural sciences, engineering fundamentals, computing, and topics specific to the relevant engineering discipline; the ability to use this knowledge in the solution of complex engineering problems.		X
2	The ability to identify, formulate, and analyze complex engineering problems using knowledge of basic sciences, mathematics, and engineering, and considering the UN Sustainable Development Goals relevant to the problem.
3	The ability to design creative solutions for complex engineering problems; the ability to design complex systems, processes, devices, or products to meet current and future requirements, considering realistic constraints and conditions.			X
4	The ability to select and use appropriate techniques, resources, and modern engineering and IT tools, including prediction and modeling, for the analysis and solution of complex engineering problems, with an awareness of their limitations.
5	The ability to use research methods for the investigation of complex engineering problems, including literature search, designing and conducting experiments, collecting data, and analyzing and interpreting results.
6	Knowledge of the effects of engineering practices on society, health and safety, the economy, sustainability, and the environment within the scope of the UN Sustainable Development Goals; awareness of the legal consequences of engineering solutions.
7	Acting in accordance with engineering professional principles, knowledge of ethical responsibility; awareness of acting impartially without discrimination on any grounds and being inclusive of diversity.
8	The ability to work effectively individually and in intra-disciplinary and multi-disciplinary teams (face-to-face, remote, or hybrid) as a team member or leader.
9	"The ability to communicate effectively orally and in writing on technical topics, considering the various differences of the target audience (such as education, language, profession).
10	Knowledge of practices in business life such as project management and economic feasibility analysis; awareness of entrepreneurship and innovation.			X
11	The ability to engage in life-long learning, including independent and continuous learning, adapting to new and emerging technologies, and thinking inquisitively regarding technological changes.

ECTS/Workload Table

Activities	Number	Duration (Hours)	Total Workload
Course Hours (Including Exam Week: 16 x Total Hours)	16	2	32
Laboratory
Application
Special Course Internship
Field Work
Study Hours Out of Class	16	4	64
Presentation/Seminar Prepration
Project
Report
Homework Assignments
Quizzes/Studio Critics
Prepration of Midterm Exams/Midterm Jury	1	9	9
Prepration of Final Exams/Final Jury	1	20	20
Total Workload			125