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            Engineering Economic Analysis (EEA)

            Compare economic lifecycles of different designs.

            The Engineering Economic Analysis (EEA) program compares the lifecycle economics of alternative designs for HVAC systems and buildings. While primarily intended for HVAC building applications, the program can be used for other types of economic studies as well.

            The Engineering Economic Analysis (EEA) program offers four types of economic analysis studies. All four are bundled into one seamlessly integrated package.


            EEA Analysis Studies

            Study #1: Private Sector Lifecycle Analysis

            • Conducts detailed comparisons of the lifecycle economics of design alternatives. The analysis provides features required by private firms making investment decisions.
            • In these applications, maximizing profit is the key concern.
            • Alternatives are rated on the basis of internal rate of return (IRR), net present worth savings, total present worth and payback period.

            Study #2: Public Sector Lifecycle Analysis

            • Conducts detailed comparison of lifecycle economics of design alternatives. In this case, the analysis provides features required by government or non-profit organizations making economic decisions.
            • In these applications, cost effectiveness is the key concern.
            • Designs are rated on the basis of savings to investment ratio (SIR), total present worth and payback period.

            Study #3: Simple Payback Analysis

            • Compares the investment and operating costs of pairs of design alternatives to determine the payback period.
            • This analysis is useful for quick, simple cost studies.

            Study #4: Simple Cash Flow Analysis

            • Generates a cash flow table for each design alternative considered.
            • This analysis is useful for projecting costs over a period of years and for determining total present worth of a design.

            Engineering Economic Analysis Features

            • Permits input of multiple investment cost items, loans, and depreciation of investments, annual operating costs and periodic operating costs for each design alternative.
            • Calculates cash flow, total present worth, net present worth savings, internal rate of return, payback, savings to investment ratio.
            • Customizes content of reports based on the type of analysis being performed and therefore the economic criteria being used to make decisions.
            • Generates reports that combine text and graphics.
            • Reduces user effort by importing annual energy cost data from HAP building simulations, if desired.
            • Exports cash flow information in a text format suitable for loading into spreadsheet programs. This facilitates custom analysis of data by users.
            • Provides extensive on-line help system and users manual provides explanations, tutorials and example problems.
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