ENGINEERING ECONOMIC ANALYSIS
CERTIFICATION EVALUATION TEST 2026 FULL
QUESTIONS AND CORRECT ANSWERS
ALREADY PASSED GRADED A+
◉ What follows after identifying the problem in the Engineering
Economic Analysis process? Answer: Gathering available data and
alternatives for solutions.
◉ What is a key measure of worth criterion in Engineering
Economic Analysis? Answer: Present Worth (PW), Rate of Return
(ROR), or Benefit-Cost ratio (B/C).
◉ What is the final step in the Engineering Economic Analysis
process? Answer: Implementation and monitoring of the selected
alternative.
◉ What types of problems is Engineering Economic Analysis most
applicable to? Answer: Problems that have complexity, are
important enough to justify the effort, and have noteworthy
economic aspects.
, ◉ Why is clearly defining objectives vital in Engineering Economic
Analysis? Answer: Because criteria used for comparison should
relate to these objectives.
◉ What is the 'do nothing' option in the context of selecting
alternatives? Answer: It serves as a baseline option for comparison.
◉ What factors should be considered when collecting data for
Engineering Economic Analysis? Answer: Quality/reliability of data,
expected lifespan of alternatives, and capturing true differences
between solutions.
◉ What are the dimensions of analysis in Engineering Economic
Analysis? Answer: Financial, technical, macro-economic, ethical,
environmental, and social.
◉ What does the financial dimension of Engineering Economic
Analysis include? Answer: Direct, indirect (overhead), opportunity
costs, operating costs, and end-of-life costs.
◉ What is the macro-economic dimension concerned with? Answer:
Availability of scarce skills/resources and expected shifts in demand.
CERTIFICATION EVALUATION TEST 2026 FULL
QUESTIONS AND CORRECT ANSWERS
ALREADY PASSED GRADED A+
◉ What follows after identifying the problem in the Engineering
Economic Analysis process? Answer: Gathering available data and
alternatives for solutions.
◉ What is a key measure of worth criterion in Engineering
Economic Analysis? Answer: Present Worth (PW), Rate of Return
(ROR), or Benefit-Cost ratio (B/C).
◉ What is the final step in the Engineering Economic Analysis
process? Answer: Implementation and monitoring of the selected
alternative.
◉ What types of problems is Engineering Economic Analysis most
applicable to? Answer: Problems that have complexity, are
important enough to justify the effort, and have noteworthy
economic aspects.
, ◉ Why is clearly defining objectives vital in Engineering Economic
Analysis? Answer: Because criteria used for comparison should
relate to these objectives.
◉ What is the 'do nothing' option in the context of selecting
alternatives? Answer: It serves as a baseline option for comparison.
◉ What factors should be considered when collecting data for
Engineering Economic Analysis? Answer: Quality/reliability of data,
expected lifespan of alternatives, and capturing true differences
between solutions.
◉ What are the dimensions of analysis in Engineering Economic
Analysis? Answer: Financial, technical, macro-economic, ethical,
environmental, and social.
◉ What does the financial dimension of Engineering Economic
Analysis include? Answer: Direct, indirect (overhead), opportunity
costs, operating costs, and end-of-life costs.
◉ What is the macro-economic dimension concerned with? Answer:
Availability of scarce skills/resources and expected shifts in demand.
