The Role of Engieneering Economic Analysis.

Engineering economic analysis is most suitable for intermediate problems and the economic aspects of complex problems. They have these qualities:

1. The problem is important enough to justify our giving it serious thought and effort.
2. The problem can't be worked in one's head-that is, a careful analysis requires that we organize the problem and all the various consequences, and this is just too much to be done all at once.
3. The problem has economic aspects important in reaching a decision.

When problems meet these three criteria, engineering economic analysis is an appropriate technique for seeking a solution.Since vast numbers of problems that one will encounter in the businessworld (and in one's personal life) meet these criteria, engineering economic analysis is often required.

⇒Examples of Engineering Economic Analysis