5029 - Engineering Economics
Course information
Title
Engineering Economics
Course number
5029.19
Academic year
2024-2025
ECTS
7.50
Level
Bachelor
Faculties
Science and Tecnology
Educations
BSc in Software Engineering
Prerequisites
Upper Secondary School with B-level in mathematics.
Language of instruction
The course is taught in Faroese. The textbook is in Danish and other instructional materials are in Faroese and possibly Scandinavian languages and English. Exams may be in Faroese, Danish or English.
Registration
Students on the fifth semester of B.Sc. in Software Engineering are automatically enrolled.Applicants for an individual course must apply via the Student Service Center at lss@setur.fo
Beginning date
Friday, August 23, 2024
End date
Friday, October 11, 2024
Academic content
Purpose
The purpose of this course is to equip students with skills to analyze and evaluate key economic problems and make managerial decisions based in theory
Learning outcomes
After completing the course, students should be able to use key business economic methods to: - set up accounts with the income statement, cash flow and balance sheet, - make budgets and understand the use of budgets as a management tool, - analyze a company’s annual report and conduct a financial analysis, including calculating ratios for profitability, earnings, capital adjustment, financial position and liquidity, and to do benchmarking. - make investment calculations; calculate net present value and internal rate of return - carry our sensitivity analyses using parameters such as scrap value, investment values and net payments, - understand the most common forms of financing, - understand the most common forms of competition, - optimize price, volume and earnings using various assumptions, such as – one product in one or more markets, with or without price discrimination.
Content
The course covers: the company’s annual report – including income statement, cash flow and balance sheet; budgeting; financial analysis – including profitability, earnings, capital adjustment, liquidity and solvency; investment and financing; price-volume optimization; price elasticity; market structures; price-sales function; and cost theory.
Learning and teaching approaches
Lectures and Assignments.
Assessment
Assessment method
Written exam in 4 hours. The exam counts 100% of the final grade. Aids are allowed. The student must submit three assignments of which at least the two first have to be approved at the agreed time in order to be registered to the exam.
Examination (internal/external)
External
Grading scale
7-scale
Exam date/dates
The exam is set for week 43
Deadline for withdrawal from exam
Friday, August 23, 2024
Academic responsibility and teachers
Academic responsibility
Hannes Gislason
Teachers
Ingolf Joensen
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