Engineering Economics

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University of Kansas, 1917 - Engineering - 56 pages
 

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Page 5 - ... gilt-edged." Small projects necessitate greater probable percentages of net earnings than do large ones ; and any possibility of a future reduction of income will call for a high estimate of net earning capacity. Finally, the measure of individual greed on the part of the investor will be found to be an important factor in the determination of the attractiveness of any suggested enterprise. Such investigations as the economics of an important project should generally be entrusted only to engineers...
Page 44 - It is very advisable to prepare general data sheets, tabular forms, etc., at times of comparative leisure. When a specific case is under consideration, the forms prepared are liable to be affected by special conditions and thereby lose general applicability and convenience for comparison. The general character of information desired can be divided into two classes: First. That which in a general way always exists. For example: division of territory into cities, towns, villages, rural, etc...
Page 40 - ... affect the ease of access to the road, the traffic which should be secured, and the service which should be offered. Industrial Developments Having in mind a possible general location, then some preliminary knowledge of the characteristics of the territory is helpful before going over the route. What is the general character of the industries? Why did they develop? Upward or downward tendencies? What probable future? Can the proposed road help the development?
Page 41 - Probably little, if any, of such traffic as originates or terminates beyond its terminals—probably a large part of that which is local between such terminals. From information as to amount and direction of traffic and knowledge of general conditions affecting cost of construction, and having considered strategic position, then a tentative location can be considered. If the country is rather rough, a survey of one or more routes may be advisable; if it is comparatively level, the survey may be postponed....
Page 44 - ... figures may be used which should not be applied to the case under consideration. Statistics can be obtained as to roads in the same general territory, and possibly having the same principal terminal town; and these should be considered carefully. No statistics from any road should be applied to the proposed road, unless the engineer has quite complete knowledge as to the road from which the figures were obtained. No two roads are exactly alike, and, as before stated, it must never be forgotten...
Page 39 - Smith, who is chief engineer of the board of water supply of New York City...
Page 44 - ... obtained as to practically all of the major non-technical factors relative to the territory. Bank statements and talks with bankers are very helpful. The country banker has a detailed knowledge of the crops, mortgages, and points to which shipments are made, and as to all of the activities of the rural communities; and his statement can be accepted as approximately accurate, especially if checked up in a few cases by the examination of farms, etc.
Page 6 - This fundamental economic problem is often one of extreme complication, involving, perhaps, a determination of the character of the proposed improvement, a choice of sites or routes, a selection of uses, a consideration of aesthetics, an option on type or style of construction, a question of ultimate durability, a study of greatest possible convenience, a prevision of serious opposition, a prognostication of future conditions, an anticipation of prospective structural modifications, and a safe estimate...
Page 44 - For example: division of territory into cities, towns, villages, rural, etc.; population and its tendencies; public buildings; public service properties operated by the city or by corporations; educational institutions; churches; theatres; libraries; parks; fair grounds; banks and building and loan associations; manufacturing establishments; wholesale and retail business houses; etc. Second. Conditions of an unusual character, such as oil or gas wells, exceptionally large state institutions, manufacturing...
Page 17 - Many more examples might be cited, but it is believed that enough has been said to illustrate the possibilities of obtaining waterfowl population data that are sufficiently reliable for practical purposes.

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