The Higher Canadian Institute for Business
and Engineering Technology
Quality Assurance Unit
Course Specification
Course Name: Engineering Economics
Course Code: IEN 351
I. Basic Course Information
Program(s) on which the course is given: Communication Engineering
Department offering the course: Mechanical Engineering
Academic level: 2nd level
Semester in which course is offered: Spring
Course pre-requisite(s): None
Credit Hours: 2
Contact Hours Through: 3
Lecture
2.0
Tutorial*
1.0
Practical*
0.0
Total
3.0
Approval date of course specification: January 2015
II. Overall Aims of Course
Introduction to Economy: Basic Concepts, Varieties of Market Structure, The Law of
Supply And Demand, Elasticity, Different Types Of Economy, Accounting Income
And Cash Flow, The Objectives Of The Firms, Balance Sheet (BS). Introduction To
Engineering Economy: Engineering Decision Making, Break - Even Analysis,
Production Function, Payback Period Method, Payback Period Method. Time Value of
Money: Simple Interest Rate, Compound Interest, Discreet cash flow and Economic
Equivalence, Evaluating of the Projects (Present Worth, Annual worth, and Capitalized
Cost), Nominal and Effective Interest Rate. Rate - Of Return ROR Computations: Rate
of Return calculations using A Present worth PW, Rate of Return Calculation by Using
Annual worth EAW, Rate of Return Evaluation for Multiple Alternatives. Depreciation
Models: Nature of Depreciation, Depreciation Conventional Methods, Methods Based
on Asset Usage, Switching Between Depreciation Models.
III. Program ILOs covered by course
Program Intended Learning Outcomes (By Code)
Knowledge &
Intellectual Skills
Professional Skills
Understanding
K5, K6, K7, K8
I3, I4, I5, I11
P1, P7, P12
General
Skills
G1
1
The Higher Canadian Institute for Business
and Engineering Technology
Quality Assurance Unit
Course Specification
IV. Intended Learning Outcomes of Course (ILOs)
a. Knowledge and Understanding
On completing the course, students should be able to:
k.1 Identify and demonstrate competence in university level mathematics, natural
sciences, engineering fundamentals, and specialized engineering knowledge
appropriate to the program.
k.2 Recognize the Economics in communications technologies.
k.3 Identify the Business and management principles relevant to engineering.
k.4 Identify and analysis of communication systems economics
b. Intellectual/Cognitive Skills
On completing the course, students should be able to:
i.1. Use brainstorming and innovation techniques to deal with problems and to
develop new ideas.
i.2. Demonstrate and organize tasks into a structured economical form.
i.3 Apply the economic theories in the engineering systems.
i.4 Identify the numerical models for economic theroies.
c. Practical/Professional Skills
On completing the course, students should be able to:
p.1. Formulate and use the appropriate mathematical methods for modeling and
analyzing problems in electrical, electronic and communications engineering.
p.2. Set up, design, build and test a economic engineering systems.
p.3 Create a technical reports.
d. General and Transferable Skills
On completing the course, students should be able to:
g.1 Manipulate, sort and present the information in a variety of ways
V. Course Matrix Contents
Main Topics / Chapters
1- interest affect money
2- effective interest rate
3- Rate of return analysis
Breakeven, sensitivity and
payback analysis
Estimating costs and
54-
systems
Net Teaching Weeks
2
2
3
Course ILOs Covered by Topic
(By ILO Code)
K&U
I.S.
P.S.
G.S.
k1
i1
k2
i1,i2
All
i3
p1
g1
3
k3, k4
3
k2
Duration
(Weeks)
p2
All
g1
p3
13
2
The Higher Canadian Institute for Business
and Engineering Technology
Quality Assurance Unit
Course Specification
VI. Course Weekly Detailed Topics / hours / ILOs
Week
No.
1
2
3
4
5
Total
Hours
Sub-Topics
Introduction to Engineering Economics
How time and interest affect money
How time and interest affect money
Nominal and effective interest rate
Present worth analysis
2
4
4
4
4
6  Annual worth analysis
7
Midterm Exam
Rate of return analysis
8
Benefit/Cost analysis and public sector projects
9
Breakeven, sensitivity and payback analysis
10
Effects of inflation
11
Effects of inflation
12
Estimating costs
13
Research Project
14
15
Final Exam
Total Teaching Hours
Contact Hours
Theoretical Practical
Hours
Hours*
2
2
2
2
2
2
2
2
2
4
2
2
4
4
4
4
4
4
4
2
2
2
2
2
2
2
2
2
2
2
2
2
2
VII. Teaching and Learning Methods
Teaching/Learning
Method
Lectures & Seminars
Tutorials
Computer lab Sessions
Practical lab Work
Reading Materials
Web-site Searches
Research & Reporting
Problem Solving /
Problem-based Learning
Projects
Independent Work
Group Work
Case Studies
Presentations
Simulation Analysis
Course ILOs Covered by Method (By ILO Code)
K&U
ALL
k1
Intellectual
Skills
All
All
Professional
Skills
P2
All
General
Skills
g1
All
g1
k3, k4
i3
p2
i3
p3
g1
Others (Specify):
3
The Higher Canadian Institute for Business
and Engineering Technology
Quality Assurance Unit
Course Specification
VIII. Assessment Methods, Schedule and Grade Distribution
Course ILOs Covered by Method
(By ILO Code)
Assessment
Method
K&U
I.S.
P.S.
G.S.
Midterm Exam
Final Exam
Quizzes
k1, k2,
k3
All
k1, k2,
k4
Course Work
Report Writing
Case Study
Analysis
Oral
Presentations
Practical
Group Project
Individual Project
i1, i2, i3
Assessment
Weight /
Percentage
Week
No.
20 %
All
i2, i3
10 %
All
i3
All
p3
i2, i3
p2
g1
5%
5%
10 %
Others (Specify):
IX. List of References
Essential Text Books
Basics of Engineering Economy
Textbook ISBN #: 978-0-07-128762-3Publisher : McGraw-Hill
Course notes

Recommended books 
Periodicals, Web sites, 
etc …
Lecturers notes and slides
X. Facilities required for teaching and learning
 Big sized lecture rooms.
 Computers (Personal & Notebook).
 Laboratory
 Data show.
Course coordinator: Dr. Nabil Shams
Head of Department: Dr. Mahmoud Mohamed
Date: January 2015
4