The city implemented a green bin program with an initial total investment of $6.7 million which included the cost of bins, trucks, and truck retrofitting. It was assumed that the annual landfill savings would increase by $200,000 each year over 15 years. The net present value of the projected savings was calculated to be $6.19 million using a 12% discount rate. However, the net present value of the program was negative $545,979 since the initial investment exceeded the discounted future savings.
The city implemented a green bin program with an initial total investment of $6.7 million which included the cost of bins, trucks, and truck retrofitting. It was assumed that the annual landfill savings would increase by $200,000 each year over 15 years. The net present value of the projected savings was calculated to be $6.19 million using a 12% discount rate. However, the net present value of the program was negative $545,979 since the initial investment exceeded the discounted future savings.
The city implemented a green bin program with an initial total investment of $6.7 million which included the cost of bins, trucks, and truck retrofitting. It was assumed that the annual landfill savings would increase by $200,000 each year over 15 years. The net present value of the projected savings was calculated to be $6.19 million using a 12% discount rate. However, the net present value of the program was negative $545,979 since the initial investment exceeded the discounted future savings.
Staying Power Is Important For Consumers of Technology Products Because Investment Over Time Usually Greatly Exceeds The Initial Price Paid For A Product or Service