What is the expected annual energy cost to operate an 85 hp motor?

What is the expected annual energy cost to operate an 85 hp motor for 8 hours per day, 250 days per year, with an electricity rate of $0.10 per kW-hr?

The expected annual energy cost to operate an 85 hp motor for 8 hours a day, 250 days a year, with an electricity rate of $0.10 per kW-hr, is $12,676.

Calculation of Expected Annual Energy Cost

In this problem, we need to calculate the annual energy cost to operate an 85 hp motor for 8 hours a day, 250 days a year, with an electricity rate of $0.10 per kW-hr. First, we convert the horsepower (hp) to kilowatts (kW). 1 hp is approximately equal to 0.7457 kW. Therefore, for an 85 hp motor: 85 hp * 0.7457 kW/hp = 63.38 kW Next, we determine the total energy consumption of the motor in a year. This can be calculated as: 63.38 kW * 8 hours/day * 250 days/year = 126,760 kWh/year Finally, we calculate the expected annual energy cost by multiplying the total energy consumption by the electricity rate: 126,760 kWh/year * $0.10/kWh = $12,676 Therefore, the expected annual energy cost to operate an 85 hp motor under the given conditions is $12,676.
← The importance of cashflow management in business Weighted average cost of capital wacc →