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Compound Interest Equations | |
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Economic Criteria | |
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Preface | |
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Making Economic Decisions | |
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A Sea of ProblemsSimple Problems | |
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Intermediate Problems | |
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Complex Problems | |
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The Role of Engineering Economic Analysis | |
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Examples of Engineering Economic Analysis | |
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The Decision-Making Process | |
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Rational Decision Making | |
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Recognize Problem | |
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Define the Goals | |
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Assemble Relevant | |
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Data | |
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Identify Feasible Alternatives | |
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Select the Criterion | |
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Construct a Model;Predict Each Alternative''s Outcomes | |
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Choose the Best Alternative | |
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Audit theResults | |
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Engineering Decision Making | |
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Engineering Costs And Cost Estimating | |
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Engineering CostsFixed, Variable, Marginal, and Average Costs | |
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Sunk Costs | |
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Opportunity Costs | |
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Recurring and Non-recurring Costs | |
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Incremental Costs | |
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Cash Costs versus BookCosts | |
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Life-cycle CostsCost Estimating | |
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Types of Estimates | |
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Difficulties in Estimation | |
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One-of-a-kind Estimates | |
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Timeand Effort Available | |
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Estimator Expertise | |
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Estimating ModelsPer Unit Model | |
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Segmenting Model | |
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Cost Indexes | |
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Power Sizing Model;Triangulation | |
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Improvement and the Learning Curve | |
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Estimating Benefits | |
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Cash Flow Diagrams | |
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Categories of Cash Flows | |
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Drawing a Cash Flow Diagram | |
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Drawing Cash Flow | |
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Diagrams with a Spreadsheet | |
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Interest And Equivalence | |
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Computing Cash Flows | |
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Time Value of Money | |
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Simple Interest | |
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Repaying a Dept | |
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Equivalence | |
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Difference in Repayment Plans | |
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Equivalence is Dependent on Interest Rate | |
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Application of Equivalence Calculations | |
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Single Payment Compound Interest Formulas | |
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More Interest Formulas | |
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Uniform Series Compound Interest Formulas | |
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Relationships Between Compound Interest Factors | |
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Single Payment | |
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Uniform Series | |
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Arithmetic Gradient | |
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Derivation of Arithmetic Gradient Factors | |
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Geometric Gradient | |
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Nominal And Effective Interest | |
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Continuous Compounding | |
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Single Payment Interest Factors | |
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Uniform Payment Series | |
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Continuous, Uniform | |
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Cash Flow | |
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Spreadsheets for Economic Analysis | |
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Spreadsheet Annuity Functions | |
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Spreadsheet Block Functions | |
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Basic Graphin UsingSpreadsheets | |
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Present Worth Analysis | |
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Economic Criteria | |
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Applying Present Worth Techniques | |
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Useful Lives Equal the Analysis Period | |
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Net Present Worth | |
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Useful LivesDifferent from the Analyis Period | |
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Infinite Analysis Period--Capitalized Cost | |
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Multiple Alternatives | |
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Assumptions in Solving Economic Analysis Problems | |
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End-of-year Convention | |
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Viewpoint of Economic Analysis Studies | |
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Sunk Costs | |
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Borrowed Money Viewpoint | |
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Effect of Inflation and Deflation | |
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Income Taxes | |
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Spreadsheets and Present Worth | |
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Annual Cash Flow Analysis | |
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Annual Cash Flow Calculations | |
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Resolving a Present Cost to an Annual Cost | |
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Treatment of Salvage Value | |
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Annual Cash Flow Analysis | |
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Analysis Period | |
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Analysis Period Equal to Alternative Lives | |
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Analysis Period a Common Multiple ofAlternative Lives | |
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Analysis Period for a Continuing Requirement | |
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Infinite | |
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Analysis Period | |
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Some Other Analysis Period | |
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Using Spreadsheets to Analyze Loans | |
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Building an Amortization Schedule | |
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How Much to Interest? | |
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How much to Principal? | |
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Finding the Balance Due on a Loan | |
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Payoff Debt Sooner by Increasing Payments | |
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Rate Of Return Analysis | |
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Internal Rate of Return | |
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Calculating Rate of Return | |
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Plot of NPW vs. Interest Rate irRate of Return Analysis | |
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Analysis Period Spreadsheets and Rate of Return Analysis | |
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A Difficulties Solving For An Interest Rate | |
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Converting a Cash Flow to a Mathematical Equation | |
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Cash Flow Rule of SignsZero Sign Changes | |
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One Sign Change | |
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Two or More Sign Changes | |
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What theDifficulties Mean | |
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External Interest Rate | |
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Resolving Multiple Rate of Return Problems | |
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A Further Look at the theComputation of Rate of Return | |
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Incremental Analysis | |
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Graphical Solutions | |
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Incremental Rate of Return Analysis | |
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Elements in Incremental Rate of Return Analysis | |
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Incremental Analysis Where There are Unlimited Alternatives | |
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Present Worth Analysis With Benefit-Cost Graphs | |
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Choosing an Analysis Method | |
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Spreadsheets and Incremental Analysis | |
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Other Analysis Techniques | |
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Future Worth Analysis | |
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Benefit-Cost Ratio Analysis | |
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Continuous Alternatives | |
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Payback Period | |
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Sensitivity and Breakeven Analysis | |
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Graphing with Spreadsheets for Sensitivity and Breakeven Analysis | |
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Depreciation | |
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Basic Aspects of DepreciationDeterio | |