Time value of money

Learning Objectives:

1. Describe major concepts of engineering economics

2. Distinguish and compute simple and compound interests

3. Distinguish and compute nominal and effective interest rates

4. Draw cash flow diagrams

5. Calculate time value money

Notes

• Engineering Economics Basic

Worksheets:

• Worksheet A (Basic concept)

• Worksheet B (Calculate cashflow diagrams)

• Worksheet C (Calculate cashflow diagrams)

• Worksheet D (Effective interest rate)