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The 1 0 - year life cycle cash flow is presented in the figure below for an energy efficiency project. Assume no operation & maintenance
The year life cycle cash flow is presented in the figure below for an energy efficiency project. Assume no operation & maintenance cost no inflation and escalation, and a fixed annual income as an investment return.
Using the above figure, find the following:
The initial cost or capital expenditure Capex
The annual income of the project A
The net present value of the project NPV
The simple Payback period SPP year
The payback period years
Benefittocost ratio BCR
The discount rate used in this analysis. Show the details of obtaining the value. dots
If the discount rate is changed to a higher value, what will be the effect on the Net present value of the project NPV and the simple Payback period.
annual in come project A
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