The British University in Egypt

Department of Mechanical Engineering

Engineering Economics – ENGG04I02

Project (10% of the Module)

Select an Investment decision of your choice on large scale engineering projects and
access whether those projects should be carried out or not. Write an essay of 2000 to
2500 words involving detailed criticism and analysis of the chosen projects.

In this project, you are required to consider the economical and financial effects on your
selected investment decision as well as the interest rates and the allowance of having
different inflation rates in the future.

Economic studies and decisions should be based entirely on future cash flows and
other economical calculations (e.g. time value of money, capital recovery, comparison
methods, payback period, MARR and others) that should be used by the top
management in order to reach the decision. Most or all of the above calculation should
be used in taking decision.

Make sure the final report includes cover, table of contents, list of figures, abstract,
keywords, introduction, report body, conclusion, and references.

This is group project (2 students per group) and a short discussion 5 minutes will be
required by each group and each student. The report with the discussion will weight
10% of the total module grade.

You should register your project with the module leader before starting. Deadline for
registration is 8th November 2010. Deadline for submitting the essay is Monday 20 th
December 2010.