A75-hp (shaft output) motor that has an efficiency of 91.0 percent is worn out and is to be replaced by a high- efficiency motor that has an efficiency of 95.4 percent. the motor operates 4368 hours a year at a load factor of 0.75. taking the cost of electricity to be $0.12/kwh, determine the amount of energy and money saved as a result of installing the high-efficiency motor instead of the standard motor. also, determine the simple payback period if the purchase prices of the standard and high-efficiency motors are $5449 and $5520, respectively.

Convert the shaft ouput from HP to kW

Shaft output = 75HP = 55.93kW

1st: Finding for the power consumption based on 55.93kW output

Power consumption (Old) = 55.93kW / .910 = 61.46kW

Power consumption (New) = 55.93kW / .954 = 58.63kW

2nd: Total power used in kWh:

Power Used = Power consumption * load factor * Hours:

Power (Old) = 61.46kW * .75 * 4368 = 201343 kWh

Power (New) = 58.63kW * .75 * 4368 = 192072 kWh

Energy saved = 201343 kWh - 192072 kWh = 9,271 kWh

3rd: Calculating for the price:

Price = kW-Hr * $/kWh

Price (Old) = 201343kWh * $0.08/kWh = $16107.44

Price (New) = 192072 kWh * $0.08/kWh = $15365.76

Cost saved = $16107.44 - $15365.76 =  $741.68/yr

4th: Setting up the cost equation:

Cost over time, F(t) = Motor_Cost + (Price * Number of Years, t)

Cost (Old) = 5449 + 16107.44*t

Cost (New) = 5520 + 15365.76*t

Equate the two to find for t when they cost equally:

5449 + 16107.44*t = 5520 + 15365.76*t

16107.44*t = 15365.76*t +71

16107.44*t - 15365.76*t = 71

741.68*t = 71

t = 71 / 741.68 = .095 years = 35 days

So the payback period is after 35 days.

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