Transcription of EECE 450 — Engineering Economics — Formula Sheet
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Prepared by Ron Mackinnon, University of British Columbia, 2008. 7-Feb-08 eece 450 Engineering Economics Formula SheetCost Indexes: B at time eIndex valuA at time eIndex valuB at timeCost A at timeCost = Power sizing: exponent sizing-powerBasset of (capacity) SizeAasset of (capacity) SizeBasset ofCost Aasset ofCost = =xx Learning Curve: exponent curve learningunits finished ofnumber unitfirst make totimeunitth make totime2lograte) curve learninglog(initialinitial===== =bNTNTbNTTNbN Simple Interest: periods timeofnumber period per time rateinterest )1( :alueMaturity v :amount on earnedInterest ==+==niinPFPinIP Compound Interest: periods ofnumber rateinterest periodicluepresent va valuefuture)1(====+=niPFiPFn Ordinary Simple Annuity.
EECE 450 — Engineering Economics — Formula Sheet Cost Indexes: Index valu e at time B Index valu e at time A Cost at time B Cost at time A = Power sizing: power -sizing exponent Size (capacity) of asset B Size (capacity) of asset A Cost of asset B Cost of asset A = = x x Learning Curve: learning curve exponent
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