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CHEE_5369_6369_EconII - CHEE 5369/6369 Chemical Process...

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CHEE 5369/6369 Chemical Process Economics II Catalog Data : Chemical Process Economics Cr. 3 (3-0). Prerequisites: Senior standing and approval of instructor/advisor. Fundamental concepts in financial analysis of chemical and other industrial projects. Methods of cost estimation. Project control tools. Textbooks : Engineering Economy , 5 th ed., (2002), McGraw-Hill, by Leland Blank and Anthony Tarquin. Finance and Accounting for Nonfinancial Managers, 5 th ed., (2003), Perseus Press, by William G. Droms. Prerequisites by Topic : 1. Ability to use electronic spreadsheets 2. Ability to use mathematics of compound growth (compound interest) Topics : (each class is 80 minutes, two classes per week) 1. Introduction, basic concepts of financial accounting, cash flow (5 classes). 2. Principles of Engineering Economy applied to equivalence and profitability of projects. (10 classes). 3. Estimating methods (3 classes). 4. Project control (3 classes). 5. Special measurement tools (5 classes) Expected Course Outcomes and Performance Criteria : Demonstrate knowledge of the difference between profit/loss and cash flow. ( a ) 1 Demonstrate the ability to analyze projects for profitability. (
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