Light emitting diode (LEDS) light bulbs have become required in recent years, but do they make financial sense? Suppose a typical 60-watt incandescent light bulb costs $.48 and lasts for 1,000 hours. A 15-watt LED, which provides the same light, costs $3.55 and lasts for 12,000 hours. A kilowatt hour of electricity costs $.124. A kilowatt-hour is 1,000 watts for 1 hour. However, electricity costs actually vary quite a bit depending on location and user type. An industrial user in West Virginia might pay $.04 per kilowatt-hour whereas a residential user in Hawaii might pay $.25. You require a return of 10 percent and use a light fixture 500 hours per year. What is the break-even cost per kilowatt-hour? (Do not round intermediate calculations and round your answer to 6 decimal places, e.g., 32.161616.)
Light emitting diode (LEDS) light bulbs have become required in recent years, but do they make financial sense? Suppose a typical 60-watt incandescent light bulb costs $.48 and lasts for 1,000 hours. A 15-watt LED, which provides the same light, costs $3.55 and lasts for 12,000 hours. A kilowatt hour of electricity costs $.124. A kilowatt-hour is 1,000 watts for 1 hour. However, electricity costs actually vary quite a bit depending on location and user type. An industrial user in West Virginia might pay $.04 per kilowatt-hour whereas a residential user in Hawaii might pay $.25. You require a return of 10 percent and use a light fixture 500 hours per year. What is the break-even cost per kilowatt-hour? (Do not round intermediate calculations and round your answer to 6 decimal places, e.g., 32.161616.)
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Please answer fast i give you upvote.
Transcribed Image Text:Light emitting diode (LEDs) light bulbs have become required in recent years, but do
they make financial sense? Suppose a typical 60-watt incandescent light bulb costs $.48
and lasts for 1,000 hours. A 15-watt LED, which provides the same light, costs $3.55 and
lasts for 12,000 hours. A kilowatt hour of electricity costs $.124. A kilowatt-hour is 1,000
watts for 1 hour. However, electricity costs actually vary quite a bit depending on location
and user type. An industrial user in West Virginia might pay $.04 per kilowatt-hour
whereas a residential user in Hawali might pay $.25. You require a return of 10
percent and use a light fixture 500 hours per year. What is the break-even cost per
kilowatt-hour? (Do not round intermediate calculations and round your answer to 6
decimal places, e.g., 32.161616.)
Answer is complete but not entirely correct.
Break-even cost
S
0.002258
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 2 images
Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education