This reference outlines the fundamental concepts and strategies for economic assessments for informed management decisions in industry. The book illustrates how to prepare capital cost and operating expense estimates, profitability analyses, and feasibility studies, and how to execute sensitivity and uncertainty assessments. From financial reports to opportunity costs and engineering trade-offs, Process Engineering Economics considers a wide range of alternatives for profitable investing and for projecting outcomes in various chemical and engineering fields. It also explains how to monitor costs, finances, and economic limitations at every stage of chemical project design, preparation, and evaluation.
"[This book] may well be the best text available for showing how project evaluation and economics impact corporation finances…"
—Chemical Engineering Progress
Introduction, Financing the Corporate Venture, Financial Statements, Estimation of Capital Requirements, Estimation of Operating Expenses, Time Value of Money, Deprciation, Depletion, Amortization and Taxes, Cash Flow Concept, Estimate of profitability, Sensitivity and Uncertainty Analysis, Feasibility Analysis, Choice Between Alternatives and Replacement, The Economic Balance, Concluding Comments.