Lecture 9

Lecture 9 - ISE460:Engineering Economy...

Info iconThis preview shows pages 1–8. Sign up to view the full content.

View Full Document Right Arrow Icon
ISE 460: Engineering  Economy University of Southern California Fall 2010 Joseph Chow Week 5: Lecture 9
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
HW Schedule Summary Lecture 7 3.1 3.2 Lecture 8 3.3 3.4 3.5 10/12/10 2 HW #3, due 9/23/10
Background image of page 2
Review Prior Present Worth Analysis This Week Annual Equivalent Worth Analysis Life Cycle Cost Analysis (maybe) start on Rate of Return Analysis 10/12/10 3
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Don’t Forget the Case Study  Option Proposal submission  –submit a  one page memo  by Oct 7 th  that details: which project you would like to evaluate   (e.g. “I wish to look into an economic  feasibility study on a new kind of eco-friendly system being built by my company”) some potential sources of information related to that project   (e.g. “here is a link  to the public study released by the company, which provides information on some  cash flow analysis.  I will use data from the U.S. Bureau of Economic Analysis to  supplement this information” how you plan to evaluate the project  (e.g. “In the study they used X method to  evaluate their project and came upon conclusions Y.  I will consider using Z method  and also conduct a sensitivity analysis of some of the assumed values they used for  their interest rate, analysis period, etc to see how robust their conclusion is!”) There is intentionally a little vagueness in the project details for you to have  some flexibility and fun in deciding what you want to do – it is meant to be  your “extra credit assignment” should you choose to do it If you miss the June 30 th  deadline I will assume you are just opting out of  this project.  By opting in, you are not committing  yourself to the case study  – if you decide afterwards that you want to just go for the HW assignment  option and not complete the case study, I will just use your HW assignment  grades (I’ll take the better of the two options for your grade) 10/12/10 4
Background image of page 4
ANNUAL EQUIVALENT  WORTH ANALYSIS 10/12/10 5
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
The Value of Water (in  California) Fortune  magazine calls water the ‘oil of the 21st  century’ — the precious commodity that will  determine the wealth of nations. 10/12/10 6 The proposed desalination plant in Carlsbad, CA, just north of San Diego (to be complete by 2011), http://www.treehugger.com/carlsba d-desalination-plant.jpg
Background image of page 6
The Value of Water (in  California) To combat threats of drought, California approved a $300M water- desalination plant in Carlsbad, CA Poseidon Resources Corp will sell water for $950/acre-ft (vs  $700/acre-ft currently paid by local agencies) – 1 acre-ft supplies  enough water for 4 people/yr
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 8
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/11/2010 for the course ISE 460 taught by Professor Bottlik during the Spring '06 term at USC.

Page1 / 36

Lecture 9 - ISE460:Engineering Economy...

This preview shows document pages 1 - 8. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online