engineering economics Question 2 I Engineering economy invol

engineering economics

Question 2 I Engineering economy involves the systematic evaluation of the economic merits of proposed solution to engineering problems. The first two principles of engineering economy are to develop the alternative and focus on the differences. Explain the significance of these two principles? I. Name 5 of the nonmonetary factors (i.e. besides profits maximization or cost minimization) that can play a significant role in the final recommendation in decision making in a typical engineering organization

Solution

I.

The first two principles are

a). Develop the alternatives

To define the statement of problem, you have to collect some information related to that topic. So you should take best one from the different alternatives. So create different type of alternatives and analyze those alternatives to choose which one is best to suit your problem.

After complete analysis, choose best one from list of alternatives. Finally go for implement and analyse the solution

b). Focus on differences

Find out the differences interms of cost, functionality and effectiveness. And always to choose most effectives and cost effective and time effective method to maintain best economy through out the engineering project. For examples the methods good in effectiveness but not in cost similarly some are good in cost and time perspective but not in effectiveness. So to complete and organize engineering project ecomonically safe condition finding of differences is very important

II.Name the 5 Non-Monetary Values in Decision Making

Please rate the answer. If you need more clarification comment below the answer. Thank you!!