A university spent $1.3 million to install solar panels atop a parking garage. These panels will have a capacity of 200 kilowatts (kW) and have a life expectancy of 20 years. Suppose that the discount rate is 30%, that electricity can be purchased at $0.30 per kilowatt-hour (kWh), and that the marginal cost of electricity production using the solar panels is zero.Hint: It may be easier to think of the present value of operating the solar panels for 1 hour per year first.
Approximately how many hours per year will the solar panels need to operate to enable this project to break even?
Answers
Answer:
It will take 6,534.31 hours per year for the solar panels to operate to enable this project to break even
Explanation:
Discount rate = 30% = 0.3
Looking at one hour of operation in each year = 200 kW x $0.30 Kw/hr
= $60 value of electricity per year
Compound interest factor for a discount rate of 30% = 3.3158
(taken from compound interest factor table or computed using formula ∑1/(1+r)^t , where r = 30%, and t = 1 to 30)
Present value of operating the solar panels for 1 hour per year = 60 × 3.3158 = $ 198.95
For break even it would need to run = 1.3 million ÷ 198.95
= 6,534.31 hours per year
The solar panels need to operate for approximately 236,364 hours per year to enable this project to break even.
To determine the number of hours per year the solar panels need to operate to break even, we can calculate the present value of operating the solar panels for 1 hour per year over the 20-year lifespan of the panels.
The annual operating cost is $0.30 per kWh, and the capacity of the solar panels is 200 kW. So, for each hour of operation, the cost is:
Cost per hour = 200 kW * $0.30/kWh = $60
Now, we'll calculate the present value of this cost over 20 years at a 30% discount rate:
PV Cost = $60 / ≈ $5.50
The university spent $1.3 million upfront to install the panels. To break even, the present value of operating the panels should cover this cost:
$1,300,000 = $5.50 * X
Where X is the number of hours per year the panels need to operate. Solving for X:
X ≈ $1,300,000 / $5.50 ≈ 236,364 hours per year.
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b) conditional research
c) exploratory research
d) objective research
e) descriptive research
Answers
Answer:
d) objective research
Explanation:
We need to note that mention was made that the research was "Carefully controlled." Been carefully controlled shows that the research has an objective.
Furthermore, measuring the reactions of consumers at different salt levels makes the research factual and thus a decision could be made from the findings.
Final answer:
The research being conducted on salt levels in processed foods and consumers' reactions to taste is an example of descriptive research.
Explanation:
The research being conducted, in which salt levels in processed foods are varied and consumers' reactions to taste are measured, is an example of descriptive research. Descriptive research is aimed at describing or characterizing a phenomenon or group of phenomena and does not give explanations for the observed phenomena. In this case, the research is focused on describing the impact of varying salt levels on consumers' reactions to taste, without attempting to establish causal relationships or explanations for those reactions.
Learn more about Descriptive research here:
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Answers
Answer:
The correct answer is letter "D": illegal.
Explanation:
Blockbusting is the illegal practice by which real estate brokers spread the word among homeowners of a given area that the price of their properties is undervalued because of any false reason made up by the broker in an attempt of having owners to sell their houses so the broker can have more listings.
As a result of blockbusting, the price of houses decline. The license of brokers engaged in this activity is subject to disciplinary action.
Answers
Different insights and opinions in a collaborative setting can open up new better methods
Answers
Answer:
The correct answer is letter "B": top management's attitude toward decentralized operating structures.
Explanation:
A sales forecast is an estimate of the sales a company projects to process during a given period. This is done so that the firm can have an idea of the resources necessary to produce a determined amount of output from where the company can profit a margin that allows keep the business up and running satisfying stakeholders and employees' expectations.
While creating a sales forecast it is important to consider events that could affect the regular operations of the business such as government regulatory policy changes, competition, and the economy of the industry. Top executives' attitudes towards operating structures are irrelevant for such a purpose.
Answer:
top management's attitude toward decentralized operating structures.
Explanation:
Answers
Solution and Explanation:
The calculation of tax saving is shown below:
if B is getting the whole amount of salary the combined FICA tax liability of B and S Corp will be:
= $110000 multiply with 15.3 divide by 100
= $16830
If B is getting $50000 as salary the combined FICA tax liability of B and S corp will be
= $50000 multiply with 15.3 divide by 100
= $7650
thus the tax saving will be :
$16830 minus $7650
= $9180
The IRS can deem this arrangement unfit as make it mandatory for B to get the whole amount as salary. In that case, no change will take place in the tax liability.