Return on investment for home efficiency upgrades.

You have received a quote from an energy audit for improvements that you could do to your home to reduce your energy use. The main recommendation is to insulate your walls and attic. The estimate for the costof this investment is $2,000.You expect to save 9% off your annual electricity bill of $1,750. Insulation is durable and you plan to stay in your home for the next 20 years. What is your return on investment in insulation for your home over a 20-year time horizon?

a.What are your total savings over 20 years?

b.What is the net benefit (or profit) over the 20 years? c.What is the return on investment? (3 points)

(4) Return on investment for home efficiency upgrades You have received a quote from an energy audit for improvements that you could do to your home to reduce your energy use. The main recommendation is to insulate your walls and attic. The estimate for the cost of this investment is $2,000. You expect to save 9% off your annual electricity bill of $1,750. Insulation is durable and you plan to stay in your home for the next 20 years. What is your return on investment in insulation for your home over a 20-year time horizon? a. What are your total savings over 20 years? (3 points) b. What is the net benefit (or profit) over the 20 years? (2 points) c. What is the return on investment? (3 points)