Q39 D.Develop a sustainability indicator fourth-year environmental engincer has

Question

Q39

D.Develop a sustainability indicator fourth-year environmental engincer has proposed a solver 39. A ical company. It would recover 40 tonnes of solvent per year from the exhaust stack and cost $26.600. This would result in the company saving S17,000/y from not having to buy solvent, and would avoid $4000 annually in disposal costs. What is the simple payback of this initiative? A. 1.6 years B. 9.5 months C. 1.3 years D. 6.6 years 26 600 systems 40. Industrial ecology aims to shift away from current liner

Explanation / Answer

Amount of Solvent recovered per year = 40 tonnes

Cost of recovered solvent = $26600

Company saving per year = $17000

Disposal cost annualy = $4000

Total saving = $21000

Payback = Total Investment / Total Savings

Payback = 26600 / 21000 = 1.2666 = 1.3 years

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