• Mid-sized Plan. Quantity: 24 Panels. System Size: 8.16kW. Est. Annual Production: 12250 kWh.
• Cost $17039 (Paid October 2021). This includes both labor and material (all inclusive).
  • I choose to purchase out right instead of having a note payable (long-term debt) or leasing it.
• Other technical specs are available in the shared drive.

A YEAR OR TWO LATER, AFTER SOLAR PANEL INSTALLATION:

• Bimonthly DWP Electric bill dated 1/4/22 - 3/4/22 indicates there is a charge for 166kWh totaled $47.42

Instructions

1. Use any tools learned in the capital budgeting chapter (payback period, accounting rate of return, net present value, internal rate of return) to analyze the decision of purchasing the solar panel. Use any outside sources (such as interest rates). In retrospect, do you think that I made the right decision to install solar panel? Proof to me by showing some financial modeling.
2. What are some non-quantitative aspects that might impact the decision? What are other supports that you would like to obtain when making a decision.

3. Share about your decision and your hard choices. Build a model for your decision-making process. Consider trade-offs. Conclude why the decision taken is logically sound (and not just feeling good). Don't be shallow in your analysis. Prove to yourself you learn and are able to apply what you learn! Let's leave this open ended and I look forward to hear from you.