Cost Engineering and Project Evaluation

Code:

M.EMG0027

Acronym:

ECAP

Keywords
Classification	Keyword
OFICIAL	Management
OFICIAL	Economics
OFICIAL	Project

Instance: 2022/2023 - 2S

Active?	Yes
Web Page:	https://moodle.fe.up.pt/1112/mod/forum/view.php?f=296
Responsible unit:	Mining Engineering Department
Course/CS Responsible:	Master in Mining and Geo-Environmental Engineering

Cycles of Study/Courses

Acronym	No. of Students	Study Plan	Curricular Years	Credits UCN	Credits ECTS	Contact hours	Total Time
M.EMG	9	Plano de estudos oficial a partir de 2008/09	1	-	6	45,5	162

Teaching language

Suitable for English-speaking students

Objectives

To estimate the basic elements of economic evaluation: investments, costs and market. Make economic estimations of projects of different nature: services producers, revenue generating, marginal analysis, comparison between leasing and acquired on contexts successively more complex.

Learning outcomes and competences

Once completed the CU, the student should be able to perform the economic evaluation of an investment project of small or medium size, in a company.

Working method

Presencial

Program

Module 1 - Decision Theory: Chapter I: Introduction to the monetary restatement. Chapter II: Investment Decision Methods for Producing Services. Chapter III: Investment income generators. Chapter IV: Production Costs Balance and Optimization. Chapter V: Sensitivity Analysis and Risk. Chapter VI: The Depreciation-Introduction. Chapter VII: Cash Flow, IRR and NPV. Chapter VIII: Evaluation Criteria After Taxes. Chapter IX: Replacement Analysis. Chapter X: Investment with Financing.

Module 2 - Theory Project: Chapter I: The Creation Project. Chapter II: The Basic Elements of Economic Evaluation. Chapter III: An estimated. Chapter IV: Sensitivity Analysis. Chapter V: Evaluation of Industrial Projects. Chapter VI: Market Analysis.

Mandatory literature

António Fiuza; Engenharia de Custos e Avaliação de Projetos

Complementary Bibliography

Alan C. Shapiro; Capital budgeting and investment analysis. ISBN: 0-13-066090-6
Richard A. Brealey, Stewart C. Myers; Princípios de finanças empresariais. ISBN: 972-9241-14-7

Teaching methods and learning activities

Theoretical presentation, case presentations, and resolution of exercises. The questions asked by the students are clarified as they are raised.

Evaluation Type

Distributed evaluation with final exam

Assessment Components

Designation	Weight (%)
Teste	100,00
Total:	100,00

Amount of time allocated to each course unit

Designation	Time (hours)
Estudo autónomo	113,00
Frequência das aulas	49,00
Total:	162,00

Eligibility for exams

Terms of frequency: according to article 6 of the Specific Regulation for the Assessment of Students at FEUP.

Calculation formula of final grade

Formula Evaluation: Three tests with a weight distributed as follows: 1st - 20% 2nd - 40% 3rd - 40%. If students miss the first test, its relative weight will be distributed to the remaining two, which will count, each with 50% of the classification. Likewise, if the classification of the 1st test is less than the remaining two. The tests replace the first call of the examination period. The 3rd test will take place on the scheduled date for the 1st call of the examinations. There will be exam to students who do not achieve the goals of the curricular unit in the distributed evaluation.

Special assessment (TE, DA, ...)

The student will do an exam on all subjects.

Classification improvement

The student will do a final exam on all subjects.