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Obviously, from the point view of efficiency, the higher the EER the better, but

ID: 2071651 • Letter: O

Question

Obviously, from the point view of efficiency, the higher the EER the better, but a higher EER is typically accom higher price. Consider two 12,000-Btu air conditioners, one with an EER of 7.8 and the other with a EER of 10. The difference in price is about 70 dollars. Assuming that the air conditioner will be operated for 6 hours daily during a period of 4 months every year, how long will it take to break even financially if you purchase the more expensive unit? Take the electricity to be 0.10dollar/(kilowatt. Hour). Less than a year about two year about three year about four year more than five years

Explanation / Answer

about four years 6 x 30 x 4 = 720 hrs energy saved = 720 x 1055 x (10 - 7.8)/10 = 167.1 kwh per year cost = .1 x 167.1 = 16.71 $ so for 70 $ = 70/16.71 = 4.1 yeears