Practice Sample Payback Calculation - Economics of Sustainable Construction
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Sample Payback Calculation

Practice - Sample Payback Calculation

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Practice Questions

Test your understanding with targeted questions

Question 1 Easy

What is the payback period for the green building in our example?

💡 Hint: Look at the annual savings compared to the initial costs.

Question 2 Easy

What does NPV stand for?

💡 Hint: It's important for assessing investment profitability.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is a green building's average payback period according to the example?

1 year
2.5 years
10 years

💡 Hint: Recall the values from the payback section.

Question 2

True or False: Traditional buildings typically have a quicker payback period than green buildings.

True
False

💡 Hint: Consider the information about payback period comparisons.

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

If a green building’s operational savings increase by 10% each year, calculate the payback period over a decade considering an initial cost of ₹2,200.

💡 Hint: Think of the compounding effect on savings.

Challenge 2 Hard

Analyze the long-term impacts of non-monetary benefits such as improved health on the return on investment for green buildings.

💡 Hint: Broaden your thinking to include social metrics and benefits.

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Reference links

Supplementary resources to enhance your learning experience.