The HVAC equipment cost and installation are $100,000 and the annual maintenance cost of the HVAC system
Fantastic news! We've Found the answer you've been seeking!
Question:
The HVAC equipment cost and installation are $100,000 and the annual maintenance cost of the HVAC system is $10,000, where the annual energy cost savings is $45,000 and the salvage value of the equipment after 5 years is $20,000. Considering the annual Interest rate: of 12% and Tax rate: of 34%.
Calculate the net present work (NPW) and rate of return (ROR) for the energy efficiency project for 6 years period. (use MACRS depreciation method).
Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
Posted Date: