Lecture # 1

Engineering Economics (MS-291)

Introduction
Dr. Maazullah Khan
PhD, MSc, MBA
Associate Professor of Practice
Department of Management Sciences GIKI
Your Teaching Team
• Course Instructor: Dr. Maazullah Khan
Office Hours:
PhD, MSc, MBA
• 10am – 5:00pm
Email: maazullah@giki.edu.pk
Only course related questions • Brabers Building, G3 Offices
• Please Book Appointments

• Teaching Assistant: Ms. Sabahat Orakzai

Email: sabahat@giki.edu.pk
Administration related questions

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Why is this course important?
• To make informed decisions
– Professional
– Personal

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Bottle vs. Submarine
Pressa Bottle
Two seater Submarine

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Decision Making
• Decision making is a science

Random

Decisions

Calculated
Management
• Decision making is a science

Random
X
Decisions

Calculated 
Analysis

The art of transforming data into information that is useful for

informed decision making.

Keywords:
• Data
• Transformation
• Information
• Decision
Key Words
• Data
• Transformation => Analysis
• Information
• Decision Making
Decision Making Process

Useful
Data Analyze Decision
Info
 Book to Follow

Engineering Economy (Seventh Edition)

By
Leland Blank, and Anthony Tarquin, McGraw
Hill Publisher

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 Course Outline and Tentative Lecture Plan

Week Contents Reading Material

Foundation of Engineering Economy, Various Cost Chapter 1 (Blank & Tarquin 2012)
Week 1 Concepts
to Factors: How Time and Interest Affect Money Chapter 2 (Blank & Tarquin 2012)
Week 4
Combining Factors and Spreadsheet Functions Chapter 3 (Blank & Tarquin 2012)

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 Course Outline and Tentative Lecture Plan

Week Contents Reading Material

Nominal and Effective Interest Rates Chapter 4 (Blank & Tarquin 2012)
Week 5
to
Present Worth Analysis Chapter 5 (Blank & Tarquin 2012)
Week 8

Annual Worth Analysis Chapter 6 (Blank & Tarquin 2012)

Week 9 Mid Term

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Course Outline and Tentative Lecture Plan

Week Contents Reading Material

Week 10 Rate of Return Analysis: Single Project Chapter 7 (Blank & Tarquin 2012)
to
Week 13 Rate of Return Analysis: Multiple Alternatives Chapter 8 (Blank & Tarquin 2012)

Week 14 Benefit/Cost Analysis and Public Sector Chapter 9 (Blank & Tarquin 2012)
to Economics
Week 15 Environmental impact assessment Miscellaneous

Week 16 Final Term

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Course Map
• Ch 1 – 4: Tools
• Ch 5 – 9: Analysis

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Assessments
• Class Participation 05% Quiz Dates
• Assignments 10% • Quiz # 1:
• Quiz 15% • Quiz # 2:
• Midterm 30% • Quiz # 3:
• Final Exam 40% • Quiz # 4:

• Attendance: Minimum 80%

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Course Contents/Material
• Course Outline
– Uploaded on CMS
• Assignments
– Uploaded on CMS
– Collected through CMS

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Success Recipe – In Class Teaching
• Be attentive during lectures and take notes
• Book reading
• Get rid of procrastination. Late submissions are NOT allowed.
• Use of cell phones NOT allowed during class hours.
• Discussions not allowed during class hours
• Raise your hand if you have any questions.
• Be on time

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Office Hours
• Brabers Building, G3 Offices
• If possible, please book appointment
• My email is maazullah@giki.edu.pk
• Miss Sabahat’s email is sabahat@giki.edu.pk

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 Thank You

Any Questions?
Email: maazullah@giki.edu.pk

Teaching Assistant: Ms. Sabahat Orakzai

sabahat@giki.edu.pk
References
• Engineering Economy 7th Edition by Leland Blank, Anthony Tarquin [ISBN-
10: 0073376302]

• Videos from Dragon’s Den are copy righted. We are using it only for educational
purposes.

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