CE/ME 350, ENGINEERING ECONOMY

QUIZZES
There will be seven 25-minute quizzes in this class on the following schedule:

• September 11
• September 25
• October 9
• October 23
• November 6
• November 20
• December 7

There will be no makeup quizzes. Your lowest quiz score will be dropped from your grade computation.

HOMEWORK ASSIGNMENTS
I'll make every effort to keep the current CE 350 homework assignments listed here. Late homework will not be accepted.

Date Due/Assignment
Aug 31 ­ Problems 2.8, 2.18, 2.21, & 2.32
Sep 2 ­ Problems 2.36, 2.37, 2.44, & 3.2
Sep 9 ­ Problems 3.6, 3.11, 3.14, & 3.16
Sep 14 ­ Problems 5.3, 5.5, 5.13, & 5.21
Sep 16 ­ Problems 5.17, 5.27, & 5.28. Also, prepare a list of the economic analysis functions available on excel, lotus, or another spreadsheet that you use. Using short statements or a cash flow diagram, show what these functions calculate.
Sep 21 ­ Problems 5.32 & 6.4; find the present worth of the costs given in problem 6.25.
The following cash flows occur on Dec 31 of the years indicated; if i=10%, find the value of C: 1995, -$100; 1996, -$200; 1997, -$300; 1999, +C; 2000, +C; 2001, +C.
Sep 23 ­ Problems 6.8, 6.16, 6.28, & 6.33
Sep 28 ­ A $175,000 home mortgage will be paid back in monthly payments over a period of 15 years. The annual interest rate is given by the last two digits of your SSN; if your SSN ends with 63, your interest rate is 6.3% per year. Determine the monthly payment. Prepare an amortization table, showing for each month the month number, the amount of the monthly payment going to interest and to prinicipal reduction, and the balance at the end of each month. You're encouraged to use a spreadsheet.
Sep 30 ­ Problems 7.2, 7.4, 7.6, & 7.7; solve all to the nearest 0.1%
Oct 5 ­ Problems 7.14, 7.17, 7.21, & 7.22
Oct 7 ­ Problems 8.3, 8.4, & 8.6
Oct 12 ­ Problems 8.19, 8.20, 8.21, & 8.31
Oct 19 ­ See the three problems in breakeven problems
Oct 21 ­ A small company is examining the following investment opportunities

Project	Investment	n	Salvage	Net Revenue/yr
K	50,000	8	5,000	8,000
L	25,000	10	0	4,500
M	25,000	10	2,500	6,500
N	50,000	5	15,000	11,000
O	25,000	15	1,000	4,000
P	25,000	10	2,500	4,000
Q	50,000	12	3,000	6,800

a) Use a spreadsheet to find the rate of return for each project.
b) Copy the results from a) to another place in the spreadsheet and sort by decreasing IRR.
c) Find the investment, net annual returns, and IRR, for the best project, the best two projects, and so forth through the best seven projects.
Oct 26 ­ Problem 9.30
Oct 28 ­ Problems 10.27, 10.34, & 10.36
Nov 4 ­ Problems 11.11, 11.21, & 11.26
Nov 6 ­ Problems 11.16, 12.7, 12.8, & 12.9
Nov 11 ­ Problems 12.12, 12.19, & 12.28
Nov 13 ­ Problems 13.6, 13.10, & 13.12
Nov 16 ­ Problems 13.14, 13.22, & 13.23
Nov 18 ­ Problems 13.34, 13.35, & 13.39
Nov 23 ­ Redo homework from Nov 18
Dec 2 ­ Problems 17.5, 17.8, & 17.27
Dec 4 ­ Problems 17.24, 18.5, & 18.12

OFFICE HOURS
Usually MWF 11-12 & TR 9:30-11:00
Or by arrangement