You review the energy consumption at your workplace and have found that the lighting system is not energy efficient enough. After looking at different solutions, you have decided that an investment in motion sensors and low-energy lamps suits the company best. According to your calculations, the investment would mean savings of SEK 66,000 in the first year and thereafter the savings are expected to decrease by 15% per year. The size of the savings is calculated at the end of each year from installation and installation is immediate. How much is the company willing to pay for the lighting system today, assuming that its life is 3 years and that the risk-free interest rate will be 1.67% the first year, 2.10% the second year, and 3.27% the last the year?

RIGHT ANSWER IS 163442