EIN 6357 Advanced Engineering Economic Analysis Fall 2020

Effective August 21, 2020

Official Course Syllabus and Class Schedule

Instructor: Dr. Michael D. Proctor Class Session Cancellations: Zoom

Classroom: Internet
Instructor Office: Zoom
email: Michael.proctor@ucf.edu
Semester Dates: 8/24 - 12/12/2020
Zoom Class Hours: T&R: 1:30 PM -
2:45 PM
Zoom Instructor Office hours: Zoom
meetings available by request: T & R:
10:00 AM to 11:30 AM.
Department Location: Eng. II
class & office hours will NOT be held
on days when the campus or the
engineering building is closed or the
class suspended or cancelled for any
reason to include scheduled
cancellations in the syllabus, holidays,
weather alerts, football games, etc.
Appointments: Please feel free to
request a Zoom appointment as
necessary.

Catalog Description:
3(3,0). PR: EGN 3613; STA 3032 or equivalent. Topics include measuring economic
worth, economic optimization under constraints. Analysis of economic risk and
uncertainty, foundations of utility functions.

Course scope and purpose; Student Learning Outcomes and Description:

The primary objective of the course is to build on EGN3613 economics and engineering
skills with advance Masters level topics applicable to future executives of engineering-
oriented, for-profit corporations. Engineering and computer science (ECS) topics
covered in the course include: (1) macroeconomic and other risk and return assessments
and analysis; (2) cost of capital (e.g. CAPM, WACC); (3) financial leverage and capital
structure (FLCS) for risk mitigation or assumption; (4) economic consideration of
corporation international operations; (5) behavioral economics; (6) analysis of real
options for risk mitigation or assumption, and (7) divestiture, restructuring, leasing,
merger and/or acquisition (DRLM&A) decision-making for risk mitigation or
assumption. As engineers and computer sciences may become corporate executives such
as Chairman of the Board, Board Member, Chief Executive Officer (CEO), or Chief
Operations Officer (COO), this course utilizes a nationally recognized leading business
finance text, selected articles, and corporate 10K and other economic and financial
reports to address the fore mentioned topics. This course does not focus on engineering
economics for government organizations nor non-profit enterprises.

Official UCF Class Notes (found on MyUCF):

This is a remote, video-delivered course. No in-person classroom attendance is required.
Students are expected to attend virtually at designated days and times as specified in the
class meeting pattern. Instruction may be supplemented by additional online activity,
projects, or exams. Internet access, browser, and e-mail required. Webcams and
microphones will be required for class meetings and may be required for exams.
This class meets with:
EIN 6357 0002
EIN 6357 0R01

This class section is delivered via video streaming over the WWW, students must have
access to a broadband internet connection. the instructor shall determine the testing
format that will be utilized. Contact instructor for more details.

Additional Detail: Unless otherwise stated, all course exams will be through McGraw-
Hill Connect or Webcourses Canvas class websites as scheduled. Students are expected
to be current and capable of performing EXCEL Time Value of Money and related NPV
spreadsheet tasks taught in the pre-requisite undergraduate courses of (EGN3613 or
EIN3351) and STA 3032 or equivalent. Students not fluent with EXCEL, Time Value of
Money and related NPV spreadsheet tasks taught in the pre-requisite undergraduate
courses should complete the appropriate undergraduate pre-requisites prior to enrollment
in this course. At UCF, Excel is taught at the 1000/2000 level or may be taken through
continuing education. Brief refresher exercises are provided within the Webcourses and
McGraw-Hill class websites, but are NOT part of course instruction.

Textbook Essential Articles, and Essential tools:

 Required Textbook: E-book Fundamentals of Corporate Finance Twelfth

Edition, by Ross, Westerfield, and Jordan (2019) with Connect. We will cover
nearly the entire 12th Edition. Connect is also REQUIRED AND
ESSENTIAL for this course. All Graded Homework, quizzes and EXAMS to
include the final exam are performed on Connect or in Webcourses.
 Essential Articles: In addition to the above text book, you are expected to obtain
these articles in electronic form through the library using OneSearch or elsewhere
online:
o (1) Fuchs, et al., (2000) “Strategic Integration: Competing in the Age of
Capabilities,” California Management Review, Vol. 42, Number 3, Spring.
o (2 & 3) Porter, Michael (1979), “How competitive forces shape strategy,”
Harvard Business Review, March - April. & (2008) January “The Five
Competitive Forces that Shape Strategy.”
o (4) Dan Lovallo & Oliver Sibony “The case for behavioral strategy”, and
Sorrell, Komisar, and Mulcahy, “How we do it: Three executives reflect
on strategic decision making”, McKinsey Quarterly, March 2010
o (5) Luehrman, T. “Investment Opportunities as Real Options”, HBR, July-
August ’98
o (6) Trigeorgis, L. “Making Use of Real Options Simple,” The
Engineering Economist, 50: 25-53.
o (7) Thomas W. Malone, et al. “Do Some Business Models Perform Better
than Others?” MIT Sloan Working Paper 4615-06, May 2006
o (8) Bernd W. Wirtz, “Business Model Management: Design - Instruments
- Success Factors”, 2011
  Essential Tools: A computer, Excel (or equivalent), and reliable high-speed,
broadband, internet access by WiFi.

Supplementary Material:
 Other articles as identified on class lecture notes.
 Highly Recommended:
o Behavioral Economics, by Edward Cartwright, Routledge: London &
NY; 2011.
o Real Options Analysis: Tools and Techniques for Valuing Strategic
Investment and Decisions, 2nd Edition, by Johnathan Mun, John Wiley
& Sons, 2006
o Hedging:
 Britta Berghöfer, Brian Lucey, “Fuel hedging, operational hedging
and risk exposure—Evidence from the global airline industry”,
International Review of Financial Analysis 34 (2014) 124–139
 Erik Hofmann, (2011),"Natural hedging as a risk prophylaxis and
supplier financing instrument in automotive supply chains",
Supply Chain Management: An International Journal, Vol. 16 Iss 2
pp. 128 – 141.
 Martin Christopher Carlos Mena Omera Khan Oznur Yurt, (2011),
"Approaches to managing global sourcing risk", Supply Chain
Management: An International Journal, Vol. 16 Iss 2 pp. 67 – 81
 Additional Readings:
o Predictably Irrational, Revised and Expanded Edition: The Hidden
Forces That Shape Our Decisions by Dan Ariely, Harper Perennial; 1
Exp Rev edition (April 27, 2010)
o Strategic Investment: Real Options and Games by Han T. J. Smit and
Lenos Trigeorgis, Princeton University Press, 2004
 Further Recommended Materials will be identified in the lecture notes but of
particular note will be Harvard Business School Case Studies. Selective Case
Studies will be highlighted in the course so that students wishing to obtain them
may do so. I will cite many additional articles, case studies and books in my
presentations but this is NOT a reason for you to duplicate my personal library.
Please take advantage of our tremendous UCF library and access the online
electronic sources through OneSearch. For the minimalist, you are not required to
obtain these supplementary materials. You will be responsible on exams for only
those portions of the supplementary material that I cite and post in my lecture
notes. Additional Journal Articles by case authors may be obtained through the to
the UCF Library homepage http://library.ucf.edu/.

General Information:
 This syllabus may change due to unforeseen events, change in University policies
or due to correction of error. If conflict exists with any statement contained
within this syllabus and University policy, University policy governs. The
official class syllabus will be maintained on the UCF Webcourses web site.
Information contained in this syllabus may be supplemented by or may have been
 formally disseminated in classroom in prior or subsequent lectures or
presentations.
 Office hours are projected and not guaranteed. Change will be announced
through Webcourses.
 Appointments may possibly be made outside of normal office hours on an as
available basis.
 Selected highlights from the policy section of the graduate catalog:
o Drop/Add: The University provides you the opportunity to interact with the
instructor and the material in a course at no cost to you during the first few
days of a semester. You may use this opportunity to determine if a course is
suited to your needs or if you are prepared to take the course. If you find that
you are NOT prepared for the course, you should not enroll or drop before the
drop/add deadline. If you have systemic, ongoing business or family situation
that conflicts with or prevents you from keeping pace with the course during
this semester, taking the exams when scheduled during this semester, or
performing at the level expected of a graduate during this semester, then as
appropriate do not enroll or drop the course for this semester. You may re-
schedule for a later semester when conflicts are removed and one is prepared
to undertake the material. If you find that you are NOT prepared for the
course or a business or family situation arises that conflicts or prevents you
from keeping pace with the course AFTER the drop/add period, then you may
apply for a withdrawal or under special conditions apply for an incomplete as
discussed below.
o Withdrawal: Withdrawal for each term begins after "Late Registration and
Add/Drop" ends. Students may withdraw from a class and receive the notation
of "W" until the date noted in the "Academic Calendar" of the Schedule Web
Guide. A student may withdraw from courses using myUCF at
https://my.ucf.edu, or by visiting the Registrar's Office (Millican Hall 161),
certain college advising offices, or a Regional Campus records office.
Students may withdraw by fax at 407-823-5652. Faxed requests must be
received by 5:00 p.m. on the last day to withdraw and must include the
student's identification number, the course(s) to be dropped, and the student's
signature. Students also may send a written request to the Registrar's Office by
mail (to P.O. Box 160114, Orlando, FL 32816-0114). This letter must be
time-stamped or postmarked before the published withdrawal deadline and
must include the student's identification number, the course(s) to be dropped,
and the student's signature. Students seeking to withdraw in person must sign
the request and must provide photo identification. The official date of
withdrawal is the date the university receives the withdrawal request.
Requests received by mail are processed using the postmark as the official
date of withdrawal. A student is not automatically withdrawn from a class for
not attending, nor can an instructor withdraw a student from a class. Upon
request the instructor will provide the student with a PASSING or FAILING
assessment of the student's performance in the course prior to the last day of
withdrawal. No withdrawal is permitted after the deadline except in
extraordinary circumstances such as serious medical problems, military
 deployment, or other events beyond the student’s control. Unsatisfactory
academic performance is not an acceptable reason for withdrawal after the
deadline. Students seeking to petition for a late withdrawal should consult the
College of Graduate Studies (MH 230). At the time of the request, the College
of Graduate Studies will ascertain from the instructor whether the student was
passing or failing the course. If the student was passing, a "WP" will be
recorded on the student's permanent record; if failing, a "WF" will be entered.
Medical and late withdrawals normally are for all courses taken in the
semester.
 As a note on the University policy on withdrawals, late withdrawals have
a greater likelihood of denial.
o Incomplete: A grade of "I" (incomplete) is assigned by the instructor when a
student is unable to complete a course due to extenuating circumstances, and
when all requirements can clearly be completed in a short period of time
following the close of regular classes. In all circumstances where an "I" grade
is received, the student and faculty member must complete an agreement form
that specifies how and when the incomplete grade will be made up. This
agreement form is submitted with the instructor grade rolls at the end of the
semester, and a copy of this agreement is given to the Graduate College for
further follow-up. For those students on financial assistance such as loans, the
incomplete (I) must be made up by the agreement date. Failure to complete
course requirements by that date may, at the discretion of the instructor, result
in the assignment of an "F" grade, or a "U" grade for thesis, dissertation, or
research report hours. It is the student's responsibility to arrange with the
instructor for the changing of the "I" grade. Grades of "I" must be resolved
within one calendar year or prior to graduation, whichever comes first.
Incompletes in regular course work left unresolved will be changed to "F" if
not changed in the allowed time period, and this time period may be sooner
for those receiving financial assistance.
 If a student requests and I agree to assign an Incomplete grade for the
semester, an Incomplete request will be posted to your transcript. A
request for an Incomplete will be denied if a student attempts all required
exams and essays. I do NOT give an Incomplete after-the-fact as a
substitute for a failure or poor performance. If given an Incomplete,
missed assignments must be completed by an agreed upon date.
 As a note on University policy, the CECS Associate Dean or his
representative approves or disapproves incompletes as well as the time
frame proposed. Requests for incompletes have been DENIED by the
CECS Associate Dean or his representative.

Academic expectations, Instructional Approach and Student Success:

 It is my earnest desire that you have a worthwhile and fulfilling experience in
this course and that you be able to successfully perform to national standards
on problems drawn from the above cited engineering economics topics. This
course uses a nationally leading text authored by Ross et al from MIT as
presented by McGraw Hill. Performing at national standards may be a
 challenge for some, depending on the level of rigor of your prior courses. We
are partners in your learning and I will work hard at my end to accomplish
those goals. Depending on your technical background and currency of
knowledge and skill set, this course may be either relatively straight forward
or a significant challenge. If you had economic or Excel courses in the distant
past, this course will require a rapid and rigorous refresher that may challenge
your abilities or demand more time than you had planned or have available
during a limited period of time available during the semester. If you foresee a
significant challenge too great for your schedule, then I recommend that you
drop the course and re-schedule when better prepared or scheduling better
permits. Alternatively, you may press forward without the pre-requisites and
hope for the best. Those who have succeeded have told me that it took long
hours and focus to overcome lack of undergraduate engineering economics
and/or Excel skills. If you do press on without the pre-requisites, mentally
prepare yourself for time and study commitments that may be equivalent to
two, three, or four courses (EIN6357, EGN 3613; STA 3032 and Excel)
depending on the extent of your unpreparedness.
 McGraw Hill LearnSmart Chapters 12-17, 21-27 modules are assigned as
homework for grade. To help accommodate those who need to refresh
material found in Chapters 1-11 or with respect to Excel or even basic
statistics, I provide short videos within the Webcourses class website.
Additionally, McGraw Hill Connect and I provide access to those chapter
LearnSmart modules to help you learn the basic economic and financial
concepts and Excel online learning system to set up the problems. All
LearnSmart modules allow you to go at your own pace, provide feedback, and
in some cases allow retakes to help you learn and gain a better score. In
addition, the book provides completely worked and explained problems within
each chapter. For those wishing to work additional problems, answers are
also provided to selected problems at the end of each chapter. I provide
further tutorials and worked problems in the Modules section of my
Webcourses web page.
 For quizzes and exams, once results for all students are completed, I release
McGraw Hill solutions to you.
 If you fall behind, do not think that you can suddenly catch up at the end. On
the other hand, if you are very successful on the early assignments, do not
think that you can breeze through the later material. In past semesters I have
had students who fell behind and thought they could catch up at the end but
didn’t. I have other students have a great start and then failed to keep pace
with the new material. Please do not let either situation occur in your life.
Please understand that I simply add up the scores that you earn and report the
results whether the result is an A or F or something in between. There are no
extra credit assignments to help you get a grade that you desire. You must
simply earn the grade you desire through the grading system discussed below.
 I believe that it is an educational disservice to you if I do not finish the entire
book and enhance the book with current case studies. Since lectures may be
recorded for later and available for repeated viewing by students, I emphasize
 lecture as the way I can deliver the greatest amount of information to you in
the shortest time with uniform dissemination. Lectures will occur during the
regularly scheduled class period unless stated otherwise through the
Webcourses class web site or through University, College, or Department
media outlets. Additional videos and other course materials will be posted at
the Webcourses class web site. Lecture notes are NOT comprehensive
compendiums of the lectures nor the assigned reading materials. Rather they
are simply organized and highlighted notes from the lectures. Students who
rely solely on the lecture notes to understand content with miss the more
comprehensive discusses found in the reading assignments as well as miss
finer points contain in the lectures but not in the lecture notes. You may find
multiple viewing of the lectures reveal new insights and enhance your
understanding of the material. However, the pyramid of learning underscores
that YOU are the most important variable in YOUR learning with reading,
listening, viewing, discussing, etcetera all contributing to learning.
PRACTICE is one of the most important activities you can do to advance your
learning and performance. Connect provides you an excellent platform to
practice economic problems. Study after study has shown practice is what
differentiates pros. As an example of conduct, professional golfers have been
known to practice their swing for hours each day. Pro football receivers
practice receiving passes. The New York Giants’ Odell Beckham Jr. made
one of the greatest NFL catches of all time, but pregame footage shows that
the catch was due to practice (http://ftw.usatoday.com/2014/11/odell-
beckham-jr-practice). Likewise basketball players, baseball players, etc all
practice to maintain their expertise and accomplish “no look passes” in
basketball or high batting averages in baseball.
 Short essays may be a component of this course. Successful writers are known
to have investigated and studied problems in depth and write and re-write
essays to communicate their thoughts. If you think that I cannot assess the
difference between essays whose subjects have been thoroughly studied and
whose composition written and re-written to achieve the highest quality and
those that have not, then I believe that you are mistaken. Unless you practice
on the economic problems given or thoroughly research the underlying
materials, you will not be able to perform at the national level.

LearnSmart Chapter & Excel Assignments, Exams, and Course Grade:

 For financial purposes, UCF requires that I administer a Required Academic
Activity to all students, which will be an exam found in Webcourses. Content
examined by the Required Academic Activity will be this syllabus. Students
should complete this Required Academic Activity by the time and date stated
in Webcourses. Later completions will be accepted but will result in later
financial aid disbursements. Scores obtained on the Required Academic
Activity will be added to scores obtained on assignments, exams and essays
discussed below.
 Assignments, exams and essays are among the best known mechanisms to
insure student engagement. Understanding and mastery of course topics listed
 in the syllabus below will be examined through McGraw Hill Connect
LearnSmart Chapter and Excel online assignments and exams and an essay
submitted through Webcourses. Connect, Webcourses, this syllabus or
classroom discussion may refer to term “exam” or “quiz” without
differentiation. In this course, the terms “exam” and “quiz” are synonymous
and refer to a for-grade examination unless the term “practice” precedes or is
implied before the term quiz or exam.
 The course grade is composed of several assignments identified in the
Webcourses Gradebook totaling 1000 points. The assignments must be
completed by the deadline set forth with the assignment. Missed assignments
are scored as a zero. As a large window of time is given to you to complete
this assignment and the assignment is available through the Internet,
MAKEUP ASSIGNMENTS AND INCOMPLETES ARE NOT given for
these assignments.
 Initial Course Scores:
o After submission of all required assignments, initial course scores are
based on the sum of scores from the required academic activity, scores
converted from LearnSmart Chapter and Excel assignment raw scores,
scores from regularly scheduled online exams, and score from the
essay assignment. I reserve the right to curve initial course scores
based on class performance. If curved, the curve will be based on
class performance relative to the overall current or prior student initial
course scores. Emphasis will be put on how top students perform as
well as the location of the class median, mode, and lastly average.
Some students may exceed 1000 points. Therefore if a curve decides a
students’ course outcome, then the students’ performance will
ultimately be relative to the performance of fellow UCF students in the
class and/or past classes.
 Final Grades:
o Course points earned by a given student are converted from a score to
letter grade using the Score to Letter Grade Conversion Table (below)
to determine the student’s letter grade. There are no extra credit
assignments. Due to curves, points earned above assigned exam and
essay scores or substitute tests, most past end-of-semester class
medians are between 80% to 89% with between 50% and 70% of the
student obtaining a B or better. This of course depends on the class
and the individual students and is therefore not a guarantee of neither
individual student nor class performance.
 All assignments submitted for grade will be the sole creation of the author.
Cheating, plagiarism, copying or representation of the work of others as your
own will result in actions in accordance with University policy and/or the
UCF Golden Rule (http://goldenrule.sdes.ucf.edu/). The possibility exists that
some students may attempt and/or find ways to cheat on exams rather than
individually understand and properly apply the techniques necessary to find
the correct solutions to given questions expected of a Masters student. In the
long run cheating hurts the individual cheater in that the material is not
 mastered. Beyond failure to master the material, the cheater and anyone
helping a cheater may be further adversely impacted as a consequence of
cheating. For those who cheat or help cheaters, often after the fact, not only
are cheaters reported but also those who helped them cheat. Further,
academically outstanding students who assist cheaters may expect to be
forever hostage to the cheater that he or she assisted as revelation of cheating
or assisting in cheating can severely damage one’s career or career
opportunities that are available to academically outstanding students.

Score to Letter Grade Conversion C+: 700 to 749 points

Table: C: 660 to 699 points
A: 950 to 1000 points or above C-: 645 to 659 points
A-: 900 to 949 points D+: 630 to 644 points
B+: 850 to 899 points D: 615 to 629 points
B: 800 to 849 points D-: 600 to 614 points
B-: 750 to 799 points F: Below 600 points
TENTATIVE SCHEDULE*
EIN6357 Topic Assignments
Class
dates
Aug 25 Introduction to Zoom lecture.
Overall Course.
Textbook, syllabus, Self-study Undergraduate Refresh
schedule, Canvas, Assignments:
Connect. Refresh Ross, et al: Chapters 1 to 11,
corresponding Proctor videos, and related NOT
Self-study Refresher: FOR Grade McGraw Hill LearnSmart & Excel
Corporate Financial assignments, and Student Resources Excel Master
Health, Statements, and chapter related exercises.
Health Measures. Time
Value of Money (TVM)
Aug 27 Self-study Refresher: No Zoom lecture.
Corporate Financial
Health, Statements, and Required Academic Activity Webcourses
Health Measures. Time Assignment Due: Perform for grade per
Value of Money (TVM) Webcourses the University Required Academic
Activity

Self-study Continue as needed Undergraduate

Refresh Assignments:
Refresh Ross, et al: Chapters 1 to 11,
corresponding Proctor videos, and related NOT
FOR Grade McGraw Hill LearnSmart & Excel
assignments, and Student Resources Excel Master
chapter related exercises.
Sep 1 Markets and Zoom lecture.
Competitiveness;
Enterprise Risk Prior to Class complete Study Ross, et al: Chapters
Management; Financial 12 related McGraw Hill LearnSmart & Excel
forms, Porter’s Strategic assignments. Also read (1) Fuchs, et al., (2000)
Landscape Diagram, “Strategic Integration: Competing in the Age of
and Fuch’s et al Capabilities,” California Management Review,
Strategic Alignment Vol. 42, Number 3, Spring. (2 & 3) Porter, Michael
Diagram for Apple and (1979), “How competitive forces shape strategy,”
Microsoft Webcourses Harvard Business Review, March - April. &
assignment (2008) January “The Five Competitive Forces that
Shape Strategy.”, (4) Thomas W. Malone, et al.
“The Sixteen Business Models” MIT Sloan
Working Paper 4615-06, May 2006
Sep 3 Markets and Zoom lecture.
Competitiveness;
Enterprise Risk Prior to Class complete Study Ross, et al: Chapters
Management; Financial 12 related McGraw Hill LearnSmart & Excel
forms, Porter’s Strategic assignments. Also read (1) Fuchs, et al., (2000)
Landscape Diagram, “Strategic Integration: Competing in the Age of
and Fuch’s et al Capabilities,” California Management Review,
Strategic Alignment Vol. 42, Number 3, Spring. (2 & 3) Porter, Michael
Diagram for Apple and (1979), “How competitive forces shape strategy,”
Microsoft Webcourses Harvard Business Review, March - April. &
assignment (2008) January “The Five Competitive Forces that
Shape Strategy.”, (4) Thomas W. Malone, et al.
“The Sixteen Business Models” MIT Sloan
Working Paper 4615-06, May 2006
Sep 8 Corporate Financial Zoom discussion Alphabet 10K Quiz
Health, Statements, and
Health Measures.
Sep 10 Return, Risk, and the Zoom lecture.
Security Market Line
Prior to class study Ross, et al: Chapters 13 and
related FOR Grade McGraw Hill LearnSmart &
Not for Grade Excel assignments.
Sep 15 Markets and Zoom discussion Apple and Microsoft 10K
Competitiveness; Investment and Competitiveness Quiz.
Enterprise Risk
Management; Financial
forms, Porter’s Strategic
Landscape Diagram,
and Fuch’s et al
Strategic Alignment
Diagram for Apple and
 Microsoft Webcourses
assignment
Sep 17 Cost of Capital; Zoom lecture.

Study Ross, et al: Chapters 14 and related FOR

Grade McGraw Hill LearnSmart & Not for Grade
Excel assignment
Sep 22 Raising Capital and Zoom lecture.
Venture Capital
Study Ross, et al: Chapters 15 and related FOR
Grade McGraw Hill LearnSmart & Not for Grade
Excel assignment
Sep 24 Leverage, Capital Zoom lecture.
Structure & Bankruptcy
Study Ross, et al: Chapters 16 and related FOR
Grade McGraw Hill LearnSmart assignments.

Sep 29 Leverage, Capital Zoom discussion Financial Leverage and

Structure & Bankruptcy Capital Structure Quiz.

Oct 1 Dividends and Payout Zoom lecture.

Study Ross, et al: Chapters17 and related FOR

Grade McGraw Hill LearnSmart assignments.
Oct 6 International Finance Zoom lecture.

Study Ross et al Chapter 21. Perform related FOR

Grade McGraw Hill LearnSmart exercises.

.
Oct 8 All prior No Zoom class or office hours

Release time to Complete for Grade all McGraw

Hill Connect Chapter 12-17 and 21 LearnSmart
assignments
Oct 13 All prior No Zoom class or office hours

Release time to Complete For Grade McGraw

Hill Ross et al Chapters 10 Bid Price through
Chapter 17 and 21 Graded Take Home Quiz per
Webcourses.
Oct 15 McGraw Hill Ross et al Zoom discussion McGraw Hill Ross et al
Chapters 10 Bid Price Chapters 10 Bid Price through Chapter 17 and
through Chapter 17 and 21 Graded Take Home Quiz
21 Graded Take Home
Quiz
Oct 20 Behavioral Economics Zoom lecture.

Study Ross et al Chapter 22 and Dan Lovallo &

Oliver Sibony “The case for behavioral strategy”.
Perform related FOR Grade McGraw Hill
LearnSmart exercises.
Oct 22 Behavioral Economics Zoom lecture.

Study Ross et al Chapter 22 and Dan Lovallo &

Oliver Sibony “The case for behavioral strategy”.
Perform related FOR Grade McGraw Hill
LearnSmart exercises.
Oct 27 Behavioral Economics. Zoom discussion Behavioral Economics Quiz.

Oct 29 Enterprise Risk Zoom lecture.

Mitigation;
Study Ross, et al Chapter 23. Perform related For
Grade McGraw Hill LearnSmart exercise.
Nov 3 Basic Real Options Zoom lecture.
Theory Calculator
Study Ross, et al Chapter 24. Perform related For
Grade McGraw Hill LearnSmart exercise.
Nov 5 Option Valuation. Zoom lecture.
Luehrman
Study Ross, et al Chapter 25. Perform related For
Grade McGraw Hill LearnSmart exercise.
Luehrman, T. “Investment as Real Options”, HBR,
’98;
Nov 10 Hedging and Financial Zoom discussion Hedging and Financial
Derivatives Quiz Derivatives Quiz
Nov 12 Real Option Cases: Zoom lecture.
Expand & Abandon; Put
and Other Real Option Trigeorgis, L. “Making Use of Real Options
Types; Mergers and Simple,” The Engineering Economist, 50: 25-53:
Acquisitions; Leases Johnathan Mun, 2006;. Luehrman, T. “Investment
as Real Options”, HBR, ’98; Trigeorgis, L.
“Making Use of Real Options Simple,” The
Engineering Economist, 50: 25-53: Johnathan
Mun, 2006;.
Nov 17 Mergers and Zoom lecture.
Acquisitions
Study Ross et al Chapter 26 perform chapter
related McGraw Hill LearnSmart exercise
Nov 19 Leasing Zoom lecture.

Study Ross et al Chapter 27 perform chapter

related McGraw Hill LearnSmart exercise

Complete Real Options Short Essay due per

instructions in Webcourses.
Nov 24 All prior No Zoom lecture or office hours:

Release Time: Complete for grade the McGraw

Hill Connect Chapter 22-27 LearnSmart
Homework assignments
Nov 26 Thanksgiving Break. No Classes.

Dec 1 All prior No Zoom lecture or office hours

Release time to Complete For Grade McGraw

Hill Ross et al Chapters 22 - 27 Graded Take
Home Quiz per Webcourses.
Dec 3 McGraw Hill Ross et al Zoom discussion McGraw Hill Ross et al
Chapters 22 - 27 Graded Chapters 22 - 27 Graded Take Home.
Take Home Quiz
Dec 8 Final Exam: Advanced No Zoom lecture or office hours:
1:00 PM Engineering
– 3:50 Economics Applied Due Date: Complete for grade the Advanced
PM Definitions Quiz due Engineering Economics Applied Definitions Quiz
per instructions in by the end of class period per instructions at
Webcourses. Webcourses.

University Policy and Procedures syllabus statements:

Required Statement Regarding COVID-19

University-Wide Face Covering Policy for Common Spaces and Face-to-Face

Classes
To protect members of our community, everyone is required to wear a facial covering
inside all common spaces including classrooms
(https://policies.ucf.edu/documents/PolicyEmergencyCOVIDReturnPolicy.pdf. Students
who choose not to wear facial coverings will be asked to leave the classroom by the
instructor. If they refuse to leave the classroom or put on a facial covering, they may be
considered disruptive (please see the Golden Rule for student behavior expectations).
Faculty have the right to cancel class if the safety and well-being of class members are in
jeopardy. Students will be responsible for the material that would have been covered in
class as provided by the instructor.

Notifications in Case of Changes to Course Modality

Depending on the course of the pandemic during the semester, the university may make
changes to the way classes are offered. If that happens, please look for announcements or
messages in Webcourses@UCF or Knights email about changes specific to this course.

COVID-19 and Illness Notification

Students who believe they may have a COVID-19 diagnosis should contact UCF Student
Health Services (407-823-2509) so proper contact tracing procedures can take place.

Students should not come to campus if they are ill, are experiencing any symptoms of
COVID-19, have tested positive for COVID, or if anyone living in their residence has
tested positive or is sick with COVID-19 symptoms. CDC guidance for COVID-19
symptoms is located here: (https://www.cdc.gov/coronavirus/2019-ncov/symptoms-
testing/symptoms.html)

Students should contact their instructor(s) as soon as possible if they miss class for any
illness reason to discuss reasonable adjustments that might need to be made. When
possible, students should contact their instructor(s) before missing class.

In Case of Faculty Illness

If the instructor falls ill during the semester, there may be changes to this course,
including having a backup instructor take over the course. Please look for announcements
or mail in Webcourses@UCF or Knights email for any alterations to this course.

Course Accessibility and Disability COVID-19 Supplemental Statement

Accommodations may need to be added or adjusted should this course shift from an on-
campus to a remote format. Students with disabilities should speak with their instructor
and should contact sas@ucf.edu to discuss specific accommodations for this or other
courses.
Academic Integrity:
Students should familiarize themselves with UCF’s Rules of Conduct. According to Section
1, “Academic Misconduct,” students are prohibited from engaging in
1. Unauthorized assistance: Using or attempting to use unauthorized materials,
information or study aids in any academic exercise unless specifically authorized by
the instructor of record. The unauthorized possession of examination or course-related
material also constitutes cheating.
2. Communication to another through written, visual, electronic, or oral means: The
presentation of material which has not been studied or learned, but rather was
obtained through someone else’s efforts and used as part of an examination, course
assignment, or project.
3. Commercial Use of Academic Material: Selling of course material to another person,
student, and/or uploading course material to a third-party vendor without
authorization or without the express written permission of the university and the
instructor. Course materials include but are not limited to class notes, Instructor’s
PowerPoints, course syllabi, tests, quizzes, labs, instruction sheets, homework, study
guides, handouts, etc.
4. Falsifying or misrepresenting the student’s own academic work.
5. Plagiarism: Using or appropriating another’s work without any indication of the
source, thereby attempting to convey the impression that such work is the student’s
own.
6. Multiple Submissions: Submitting the same academic work for credit more than once
without the express written permission of the instructor.
7. Helping another violate academic behavior standards.
For more information about Academic Integrity, students may consult The Center for
Academic Integrity.
For more information about plagiarism and misuse of sources, see “Defining and Avoiding
Plagiarism: The WPA Statement on Best Practices.”
Responses to Academic Dishonesty, Plagiarism, or Cheating
Students should also familiarize themselves with the procedures for academic misconduct in
UCF’s student handbook, The Golden Rule. UCF faculty members have a responsibility for
students’ education and the value of a UCF degree, and so seek to prevent unethical behavior
and when necessary respond to academic misconduct. Penalties can include a failing grade in
an assignment or in the course, suspension or expulsion from the university, and/or a “Z
Designation” on a student’s official transcript indicating academic dishonesty, where the final
grade for this course will be preceded by the letter Z. For more information about the Z
Designation, click here.

Course Accessibility Statement:

The University of Central Florida is committed to providing access and inclusion for
all persons with disabilities. Students with disabilities who need disability-related
access in this course should contact the professor as soon as possible. Students
should also connect with Student Accessibility Services (SAS)
<http://sas.sdes.ucf.edu/> (Ferrell Commons 185, sas@ucf.edu, phone 407-823-
2371). Through Student Accessibility Services, a Course Accessibility Letter may be
created and sent to professors, which informs faculty of potential access and
accommodations that might be reasonable. Determining reasonable access and
accommodations requires consideration of the course design, course learning
objectives and the individual academic and course barriers experienced by the
student.

Campus Safety Statement:

Emergencies on campus are rare, but if one should arise during class, everyone needs to work
together. Students should be aware of their surroundings and familiar with some basic safety
and security concepts.

 In case of an emergency, dial 911 for assistance.

 Every UCF classroom contains an emergency procedure guide posted on a wall near
the door. Students should make a note of the guide’s physical location and review the
online version at http://emergency.ucf.edu/emergency_guide.html.
 Students should know the evacuation routes from each of their classrooms and have a
plan for finding safety in case of an emergency.
 If there is a medical emergency during class, students may need to access a first-aid
kit or AED (Automated External Defibrillator). To learn where those are located, see
http://www.ehs.ucf.edu/workplacesafety.html (click on link from menu on left).
 To stay informed about emergency situations, students can sign up to receive UCF
text alerts by going to ucf.edu and logging in. Click on “Student Self Service” located
on the left side of the screen in the toolbar, scroll down to the blue “Personal
Information” heading on the Student Center screen, click on “UCF Alert”, fill out the
information, including e-mail address, cell phone number, and cell phone provider,
click “Apply” to save the changes, and then click “OK.”
 Students with special needs related to emergency situations should speak with their
instructors outside of class.
 To learn about how to manage an active-shooter situation on campus or elsewhere,
consider viewing this video.

Make-Up Assignments for Authorized University Events or Co-curricular

Activities:

Students who represent the university in an authorized event or activity (for example,
student-athletes) and who are unable to meet a course deadline due to a conflict
with that event must provide the instructor with documentation in advance to arrange
a make-up. No penalty will be applied. For more information, see the UCF policy.

Religious Observances:

Students must notify their instructor in advance if they intend to miss class for a
religious observance. For more information, see the UCF policy.

Deployed Active Duty Military Students:

Students who are deployed active duty military and/or National Guard personnel and
require accommodation should contact their instructors as soon as possible after the
semester begins and/or after they receive notification of deployment to make related
arrangements.

Copyright
This course may contain copyright protected materials such as audio or video
clips, images, text materials, etc. These items are being used with regard to the
Fair Use doctrine in order to enhance the learning environment. Please do not
copy, duplicate, download or distribute these items. The use of these materials is
strictly reserved for this online classroom environment and your use only. All
copyright materials are credited to the copyright holder.