CIVL 4111 Engineering Economics Dr. Roger Meier ES 112C /

“… to define it rudely but not inaptly, [engineering] is the art of doing that well with one dollar which any bungler can do with two after a fashion.” – Arthur Mellon Wellington, 1887 The Economic Theory of Railway Location Engineering Economics

“… [engineering] is the art of doing that well with one dollar which any bungler can do with two...” – Arthur Mellon Wellington, 1887 The Economic Theory of Railway Location Engineering Economics

Engineering economics is about making decisions regarding engineering projects based on their economics.

Economic Decision-Making 1. Recognize and define the problem or opportunity 2. Generate a reasonable set of alternative solutions 3. Gather information and generate cash flows 4. Define the evaluation criteria 5. Evaluate the alternatives 6. Select and implement the best alternative  CIVL 4111

Course Website

Homework problems will be assigned from the textbook after nearly every class. You should make a concerted effort to at least try all of the problems. The only way to make it through a 5-problem exam in 55 minutes is if you've done those types of calculations before. Homework Assignments

All homework will be due at the beginning of the next class period. That means 8:00, not 8:05 or 8:10. Late homework will not be accepted. If you are unable to complete an assignment on time, contact me before it is due to make alternate arrangements. I will not accept homework delivered by . Homework Assignments

Homework should be neatly written on engineering paper (not graph paper or lined notebook paper) using one side only. All of the solution steps must be included and must be clearly identified. The calculations should flow down the page with just one calculation on each line. The final answer should be boxed or underlined. If I can't follow your solution, it's wrong. Homework Assignments

When you turn your homework in, please make sure it is stapled in the upper left corner then fold it in half lengthwise and write your name on the staple side (the side with the punched holes) near the top edge. I will return the homework to you by passing around an alphabetized stack and this will make it easy for you to find yours in the stack. Homework Assignments

Homework will not be "corrected" per se. Instead, for each assigned problem, you will earn one check (  ) for working the problem through to a solution and another check (  ) if your solution is correct. Homework Assignments

On the last day of class, if you have accrued at least 60% of the maximum possible number of check marks, you may elect to either (a) drop your lowest one-hour test score and take the final exam or (b) skip the final exam and use your one-hour test score average as your final class score. Homework Assignments

I encourage you to work together on the homework, but you must do your own work. If what you hand in is simply a copy of another student’s homework, both will be returned with a grade of zero. Homework Assignments

I realize that solution manuals are available online. Copying solutions from a solution manual is cheating, and violates the University of Memphis Code of Student Rights and Responsibilities. If you are caught using a published solution manual, you will (a) lose your right to have your lowest test grade dropped and (b) have your final course grade lowered by one letter grade.Code of Student Rights and Responsibilities Homework Assignments

There will be 3 one-hour exams plus a comprehensive two-hour final exam. All exams will be closed-book and closed-note but you will be provided with a copy of the Engineering Economics chapter from the NCEES FE Supplied-Reference Handbook at the start of each test. Examinations

To Hybrid or Not To Hybrid Gas-electric hybrid autos present a dilemma for car buyers. On the one hand, they are more fuel-efficient and produce lower emissions than conventional, gasoline-only cars. On the other hand, hybrids typically cost thousands of dollars more than similar gas-only models. Let’s say you are considering buying a new Honda Civic and are trying to choose between the gasoline-only Civic EX Sedan ($21, mpg city) and the gas-electric Civic Hybrid Sedan ($24, mpg city). I’ve chosen the Civic because it is affordable and the hybrid version gets much better gas mileage in the city than the gas-only version. Let’s see if the added cost of the hybrid is worth it from a financial standpoint.Civic EX SedanCivic Hybrid Sedan Assume you’ll own the car for 5 years and put 15,000 miles per year on the car (the national average). Assume mostly city driving.

5-Year Cost to Own

Honda Civic EX Sedan

Honda Civic Hybrid Sedan