Chapter 9. Engineering Economic Analysis

What You Will Learn

• That if money is invested, it grows

• That there are different types of interest

• How to do interest and investment calculations

• That there are different types of cash flow diagrams, which can be used to represent financial transactions

• How to represent financial transactions on a cash flow diagram

• How to include taxation

• What depreciation is, how to calculate it, and how to include it in financial calculations

• What inflation is, and how it is related to interest

The goal of any manufacturing company is to make money. This is realized by producing products with a high market value from raw materials with a low market value. The companies in the chemical process industry ...

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