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Clearly defining a detailed and realistic design is often challenging, and the failure to do so leads to problems in the subsequent implementation phase. They range in severity from difficulties in testing, to a partial or complete redesign, or a failed design. The method of functional decomposition is a powerful tool for designing computer and electrical systems that addresses these problems. The formal application of functional design techniques improves the quality of designs developed in capstone projects, and is widely applicable to many domains. This paper advocates and addresses the teaching of the functional design technique for computer and electrical systems.