A company is considering installing solar panels ona roof. The initial installation will cost $30,000, butit will save $260 in electricity each month and last20 years. If MARR = 0.5%, what is the discountedpayback period of the solar panels?

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Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter19: The Basic Tools Of Finance

Section: Chapter Questions

Problem 3CQQ

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A company is considering installing solar panels on a roof. The initial installation will cost $30,000, but it will save $260 in electricity each month and last 20 years. If MARR = 0.5%, what is the discounted payback period of the solar panels?