Calculate irr on a home using companys insulated concrete

Assignment Help Macroeconomics

Reference no: EM13182124

Your Company fabricates concrete forms that include additional insulating material which saves ½ of cooling and heating expenses (the forms remain in place). However, using these new concrete forms adds 10% to the overall cost of the home. A typical 2,000 sq. ft. home using standard concrete forms costs $120 per square foot to construct and uses $300 per month average to heat and cool. Calculate the IRR on a home using your company's insulated concrete forms on a typical 2,000 sq. ft. home. The residual value in any case (with either concrete form system) in 20 years will be the same with or without the insulating material.

Reference no: EM13182124

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