|
Example: simple calculation of ROI and investment opportunities |
| Description of the variable |
|
Calculation |
Parameters values |
| C |
Cost of the plant |
€ |
estimate |
20.000 |
|
|
|
| m |
Manytenance par year |
€ |
" " |
400,00 |
|
|
|
| A |
Annual savings |
€ |
" " |
2.500 |
2.500 |
2.500 |
2.500 |
| Y |
Installation and setup time |
n |
" " |
0,25 |
(frazione di anno) |
|
|
| D |
Duration of the loan |
n |
" " |
1,00 |
10,00 |
15,00 |
20,00 |
| T |
Fixed interest rate |
% |
assumed |
2,00 |
6,00 |
6,00 |
6,00 |
| Details of costs and revenues |
|
|
|
|
| Cc |
Cost of capital and interests |
€ |
C+(C*T/100)*D |
20.400 |
32.000 |
38.000 |
44.000 |
| Yr |
Years needed to amortize |
n |
Cc/A |
8,16 |
12,8 |
15,2 |
17,6 |
| Cm |
Maintenance costs |
€ |
m*Yr |
3.264 |
5.120 |
6.080 |
7.040 |
| Ct |
Total investment cost |
€ |
Cc + Cm |
23.664 |
37.120 |
44.080 |
51.040 |
| Yp |
Years for cost = revenue balance |
n |
Ct/A |
9,47 |
14,85 |
17,63 |
20,42 |
| V |
Years of plant life |
n |
assumed |
20,00 |
20,00 |
20,00 |
20,00 |
| Cost and revenue summary |
|
|
|
|
|
| 1º |
Capital and interests |
€ |
Cc |
20.400 |
32.000 |
38.000 |
44.000 |
| 2º |
Maintenance total |
€ |
M*V |
8.000 |
8.000 |
8.000 |
8.000 |
| CT |
Total costs |
€ |
1º + 2º |
28.400 |
40.000 |
46.000 |
52.000 |
| S |
Total savings |
€ |
A*V |
50.000 |
50.000 |
50.000 |
50.000 |
| ROI% - entire life of the plant |
% |
|
43,20 |
20,00 |
8,00 |
-4,00 |
| Monthly family budget during the loan repayment period |
| |
Monthly loan installments |
|
|
0,00 |
266,67 |
211,11 |
183,33 |
| |
Maintenance |
|
|
33,33 |
33,33 |
33,33 |
33,33 |
| Total monthly family disbursements € |
|
33,33 |
300,00 |
244,44 |
216,67 |
| Monthly energy income € |
|
208,33 |
208,33 |
208,33 |
208,33 |
| |
Family balance |
|
|
175,00 |
-91,67
|
-36,11
|
-8,33
|
|
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