ROMBLON STATE UNIVERSITY

College of Engineering and Technology

Department of Mechanical Engineering

COURSE SYLLABUS
ENGINEERING ECONOMICS
1st Semester SY : 2020 - 2021
RSU VISION

Romblon State University as a premier institution of higher education in the MIMAROPA region
for a globally competitive Province of Romblon.

RSU MISSION

The Romblon State University is committed to:

1) Provide advanced education, higher technological and professional instruction.

2) Provide training in agriculture and fishery, for science and technology, education, arts, agriculture,
and other relevant fields of study.
3) Undertake research and extension services,
4) Provide progressive leadership in its areas of specialization.
PROGRAM EDUCATIONAL OBJECTIVES (PEO)
The Mechanical Engineering Program Educational Objectives and Relationship to RSU Mission:

Graduates of Mechanical Engineering program are expected to attain or achieve the MISSION
following Program Educational Objectives 3 - 5 years of graduating:
1 2 3
1) Establish technical expertise in the field of mechanical engineering and gain
√ √ √
recognition for the work in their respective fields.
2) Design and develop relevant technology using skills and resourcefulness; develop
creative and innovative solutions to engineering problems; and identify, search and √
solve new technical challenges.
3) Keep abreast of emerging technologies, continually learn new knowledge and
√ √ √
actively participate in professional communities to nourish ever-developing careers.
4) Demonstrate leadership and initiative to ethically advance professional and
organizational goals, and show commitment to teamwork while working with others √ √ √
of diverse cultural and interdisciplinary backgrounds.

COURSE INFORMATION:
Course Code:
Course Title
Course Description:
ECON 211
ENGINEERING ECONOMICS
This course deals with the study of concepts of the time value of money
and equivalence; basic economic study methods; decisions under
certainty; decisions recognizing risk; and decision admitting uncertainty.

Lecture hours 3 hours

Laboratory hours None
Pre-requisite None

Co- requisite: None

STUDENTS OUTCOMES (SO)

Upon completion of the program, the Romblon State University Mechanical Engineering PEO
students will demonstrate:
1 2 3 4
a) An ability to apply knowledge of mathematics, science and engineering √ √ √
b) An ability to design and conduct experiments in order to understand a phenomenon, prove an
idea, test engineering solution and to make sound scientific conclusions, as well as to √ √ √
analyze and interpret data using various models and frameworks.
c) An ability to design a system, component or process to meet desired needs within realistic
√ √ √ √
constraints
d) An ability to function on multi-disciplinary and multi-cultural teams √ √
e) An ability to identify, formulate and solve engineering problems √ √ √
f) An understanding of professional, social and ethical responsibility √ √ √
g) An ability to communicate effectively both in Filipino and English languages through writing,
listening, presenting, observing, questioning, focusing, and connecting complex engineering √ √
activities with various communities including engineering experts and society at large.
h) A broad education necessary to understand the impact of engineering solutions in a global,
√ √ √
economic, environmental and societal context
i) An ability to recognize the need for, and engage in life-long learning √
j) An ability to know contemporary issues; √
k) An ability to use techniques, skills and modern engineering tools necessary for mechanical
√ √
engineering practice
l) An ability to understand engineering and management principles as a member and leader of
√ √ √ √
a team, and to manage projects in a multidisciplinary environment.

Course Outcomes (Co) For College Algebra and Plane Trigonometry in relation to Student
Outcomes

SO
Course Outcomes(COs) : At the end of the course, the student will be able to:
e k
SOLVE problems involving interest and the time value of money;
CO-1 E E
EVALUATE project alternatives by applying engineering economic principles and methods and
CO-2 E E
select the most economically efficient one;
CO-3 DEAL with risk and uncertainty in projects outcomes by applying the E E
basic economic decision making concepts.
Note: E – enabling

After completing this course, the student must be able to:

LEARNING PLAN
Satisfied Teaching-Learning Assessment
Week Topic
CO Activities Technique

Orientation Multi-media
Rules and regulation of the class presentation, online
1
Discussion of the VMGO education through
Discussion of the Syllabus MODDLE and ZOOM.
 1. INTRODUCTION
1.1. Definitions
1.2. Principles of Engineering
Economics Multi-media
CO-1
1.3. Engineering Economics and the presentation, online Assignment,
CO-2
Design Process education through Quiz
CO-3
1.4. Cost Concepts for Decision MODDLE and ZOOM.
Making
1.5. Present Economic Studies

2. MONEY-TIME RELATIONSHIPS AND

EQUIVALENCE Multi-media
CO-1
2.1. Interest and the time value of presentation, online Assignment,
2 CO-2
money education through Quiz
CO-3
2.2. The concept of Equivalence MODDLE and ZOOM.
2.3. Cash Flows
3. ECONOMIC STUDY METHODS
3.1. The minimum attractive rate of
return
Multi-media
3.2. Basic Economic study methods: CO-1,
presentation, online Assignment,
3 Present worth, Future worth, Annual Worth, CO-2,
education through Quiz
Internal Rate of Return, External Rate of CO-3
MODDLE and ZOOM.
Return
3.3. Other methods: Discounted
Payback Period, Benefit/Cost Ratio
4. DECIISIONS UNDER CERTAINTY
4.1. Evaluation of Mutually Exclusive
Alternatives
Multi-media
4.2. Evaluation of Independent CO-1
presentation, online Assignment,
Projects CO-2
education through Quiz
4.3. Effects of Inflation CO-3
MODDLE and ZOOM.
4.4. Depreciation and After-Tax
Economic Analysis
4.5. Replacement Studies
4 5. DECISIONS RECOGNIZING RISKS Multi-media
CO-1
5.1. Expected Monetary Value of presentation, online Assignment,
CO-2
Alternatives education through Quiz
CO-3
5.2. Discounted Decision Tree Analysis MODDLE and ZOOM.
6. DECISIONS ADMITTING
Multi-media
UNCERTAINTY CO-1
presentation, online Assignment,
6.1. Sensitivity Analysis CO-2
education through Quiz
6.2 Decision Analysis Models CO-3
MODDLE and ZOOM.

5 COMPREHENSIVE EXAMINATION

COURSE REQUIREMENTS

1. Exercises
2. Assignments
3. Short and long quizzes
4. Major examination
5. Solved Problems/Problem Sets

COURSE POLICIES
  Since online class is the new normal, the mode of instruction will be mixed. On line classes are
scheduled on pre scheduled date and time. All students are required to log-in to the pre-
determined most convenient webinar platform (Google meet if possible). For uploading and
downloading of modules, notes, lectures, assignments, term papers and other class
requirements, students are advised to download and register to the Edmodo application platform.
All other activities aside from the webinar will be through Edmodo platform. Chat group in fb
messenger will be created to facilitate easy interaction between the faculty and student.
 All students must have downloaded the copy of module prior to the scheduled webinar.
 At the least, one day prior to the webinar class, webinar ID and password will be sent through
group messages to obtain maximum benefits for instruction.
 Valid reason for non-attendance to the webinar class will be required. No internet connectivity
and no gadget available is not a valid reason since classes are scheduled in advance.
 There will be minor and major examinations to be given during the semester. Laptop must be
used during exams to avoid inconveniences.
 All minor exams will be conducted on-line using Edmodo platform. There will be three or four long
exams given during the semester. Make-up exams will be given for missed exams at the
discretion of the instructor and only for excused absences.
 Major exams (Mid-term and Final) will be taken either face to face or on-line using Edmodo
platform at the scheduled time. All students must take the major exams.
 A term paper will be required for each student and must be submitted on-line. Point deduction will
be given to those who cannot submit on time.
 Term paper and assignments must be in acceptable engineering form including a problem
statement, labeled drawings of the system considered and all equations and units must be
shown.
 Quizzes will be given on a random basis, sometimes announced ahead of time and others will be
unannounced. Make-up quizzes will be given only for excused non-attendance.
 It is expected that all students will take notes during class and will study these notes.
 Online group studying and peer teaching is encouraged to enhance the knowledge and skills.
 Honesty is the best policy. Cheating during examinations is discouraged though it cannot be
actually monitored. ME Board exam result will tell if students cheat during class exams. KARMA
is real.
 Any student who will log-in late during examinations will consume the remaining time allotted for
the exam. No time extension will be given for any students who logged-in late.
 In the event that during exams and power interruption occur, the student affected must
immediately inform the Instructor through group messaging. The affected student will be given
another set of examination on scheduled date.

STUDENTS WITH SPECIAL NEEDS

Students who have any disability that might affect their performance in the class are encouraged
to speak with the instructor early in the semester.

COURSE GRADING SYSTEM

Grading will be as follows:
Assignments 10%
Exercises 15%
Quizzes 20%
 Solved Problems/ Problems Sets 15%
Midterm and Final Examinations 40%

Methods of Computation
Absolute zero shall be used in all examinations and quizzes.
Percentile shall be used in recording grades when evaluating students using the formula

Grades Equivalents

Rating Grade
96 - 100 1.00
91 - 95 1.25
86 - 90 1.50
81 - 85 1.75
76 - 80 2.00
71 - 75 2.25
66 - 70 2.50
61 - 65 2.75
60 3.00
Conditional 4.00
Below 60 5.00

Conditional is not a grade. It is given to students that lacks necessary requirements and
therefore, must be accomplished before the end of that semester to obtain a grade.

LIST OF RESOURCES
Printed Sources

 Alcorcon Review Book

Online Sources

 Compiled Lecture in Engineering Economy, Lorie Cabanayan, Francisco D. Cuaresma

 https://www.coursehero.com/file/45765813/engineering-economy-solution-manual-engineering-
economypdf/

Prepared by: Reviewed by: Approved: Noted:

Charmaine F. Fetalver Virne B. Dalisay Dr. Alfredo F. Fortu Jr. Dr. Emelyn R. Villanueva
Instructor 1 Chairperson, ME Department Dean, CET VPAA