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Engineering Economist

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A Real Options design for quality control charts.
INTRODUCTION In the forward to Real Options (Trigeorgis (1999)), Scott Mason writes: "Flexibility has value. While this statement is obvious at the conceptual level, it is surprisingly subtle at . . .

Multi-stage capital investment opportunities as compound real options.
INTRODUCTION Real option analysis is a relatively new and insightful way to think about corporate investment decisions. It is based on the premise that any corporate decision either to invest in . . .

Modeling the Supply Chain. (Book Review).
Duxbury Press, Pacific Grove, California, 2001, xv + 586 pp. ISBN 0-534-37363-1. List: $71.95. The book contains 12 chapters, organized in four 'parts'. Part 1 (two chapters) is 'Introduction to . . .

The Cutoff Benefit-Cost Ratio Should Exceed One.
ABSTRACT The engineering economics textbook rule of accepting all projects with a benefit-cost ratio in excess of one worth fails to consider the bias introduced from there being typically more . . .

The Association Between the Use of Sophisticated Capital Budgeting Practices and Corporate Performance.(Statistical Data Include
ABSTRACT Since the early l950s, the academic community has tried to convince corporate managers that there are sophisticated techniques that can improve the capital budgeting decision-making . . .

The Identification of Target Firms and Functional Areas for Strategic Benchmarking.(Statistical Data Included)
ABSTRACT In recent years there has been an increased emphasis on quality, Total Quality Management (TQM), and re-engineering. The practice of benchmarking is inherent to the success of any of . . .

Fuzzy Activity Based Costing: A Methodology For Handling Uncertainty In Activity Based Costing Systems.(Statistical Data Include
ABSTRACT Activity based costing (ABC) systems are often developed using estimated input data. A methodology based on fuzzy set theory has been developed to handle estimation imprecision and . . .

DATA ANALYSIS & DECISION MAKING WITH MICROSOFT EXCEL.(Brief Article)
CHRISTIAN S. ALBRIGHT, WAYNE L. WINSTON, AND CHRISTOPHER ZAPPE Duxbury Press, Pacific Grove, California, 2002, xii + 998 pp. + accompanying CD: ISBN 0-534-38932-5. List: $97.95. Data overload. . . .

THE OPTIMAL CYCLE TIME FOR EXPONENTIALLY DETERIORATING PRODUCTS UNDER TRADE CREDIT FINANCING.
ABSTRACT This paper considers the problem of determining the optimal cycle time for exponentially deteriorating products under the condition of permissible delay in payments. Theorem 1 . . .

ALTERNATIVE MODELS FOR FINDING CUMULATIVE PAID CAPITAL AND REMAINING BALANCE FOR A UNIFORM SERIES OF CASH FLOWS.
ABSTRACT The purpose of this paper is to propose models for finding the cumulative amount of paid capital up to a certain point in time for a discrete uniform series of cash flows, and also the . . .

CASE STUDY: ECONOMIC VIABILITY OF COMPONENT MANAGEMENT FOR A NEW DESIGN.
ABSTRACT This paper explores the viability of standardization of design and manufacturing techniques to expedite product development and control design proliferation using an example of a leading . . .

AFTER-TAX ECONOMIC REPLACEMENT ANALYSIS.
ABSTRACT This paper examines after-tax serial replacement analysis under current United States tax law. The law explicitly defines the difference between an asset disposal (retirement) and a . . .

A FUZZY MODEL FOR R&D PROJECT SELECTION WITH BENEFIT, OUTCOME AND RESOURCE INTERACTIONS.
ABSTRACT A model of selecting a subset of a collection of indivisible projects is proposed which maximises the global Net Present Value. The Net Present Value of individual projects and the . . .

EDITORIAL.(Brief Article)
I wish to express special thanks to Professor Deborah L. Thurston who resigned from her position as area editor of the journal in July. For the past six years, the engineering economics community . . .

VBA FOR MODELERS: DEVELOPING DECISION SUPPORT SYSTEMS WITH MICROSOFT EXCEL.(Brief Article)
BY CHRISTIAN S. ALBRIGHT University of North Carolina at Wilmington Duxbury Press, Pacific Grove, California, 2001, xxi + 549 Pp., with accompanying CD. ISBN 0-534-38012-3. (Paperback). List: . . .

MACRS DEPRECIATION WITH A SPREADSHEET FUNCTION: A TEACHING AND PRACTICE NOTE.
ABSTRACT While Excel[TM] and Quattro Pro[TM] do not have a function MACRS(cost, class life, year), they do have a variable declining balance function, VDB, that can be used to compute annual . . .

AN EXCESS INVENTORY MODEL OF DETERIORATING ITEMS TAKING ACCOUNT OF PRESENT VALUE.
ABSTRACT In this study, both deterioration and present value are considered to derive an economic time supply when there is excess inventory. An excess inventory model is developed for a . . .

MULTI-ITEM ECONOMIC ORDER QUANTITY MODEL WITH AN INITIAL STOCK OF CONVERTIBLE UNITS.
ABSTRACT In this paper we consider a group of end items facing level demand patterns and opportunities for regular purchasing. In addition, there are a number of units that can be converted into . . .

USING BIDDING STATISTICS TO PREDICT COMPLETED CONSTRUCTION COST.
ABSTRACT The completed cost of a competitively bid construction project often exceeds the original low bid. This paper presents two models to predict completed construction cost based upon . . .

MEASURING THE IMPACT OF PRICE CAPS ON PRODUCTIVE EFFICIENCY IN TELECOMMUNICATIONS IN THE UNITED STATES.
ABSTRACT Incentive regulation is now an important regulatory tool in the telecommunications industry in the United States. The issue explored here is whether incentive regulation has resulted in . . .

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