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The Rite family wishes to insulate the attic of their home to prevent heat loss. They are
considering R-11 and R-19 insulation. They can install R-11 for $1,600 and R-19 for $2,400. They
expect to save $125 per year in heating and cooling expenses if R-11 is installed. How much extra
must they save in utility expenses per year in order to justify the R-19 insulation if they expect to
recover the extra cost in 6 years at an interest rate of 6% per year? The extra savings from the
utility expenses per year in order to justify the R-19 insulation must be $ per year.

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The Rite family wishes to insulate the attic of their home t.pdf

  • 1. The Rite family wishes to insulate the attic of their home to prevent heat loss. They are considering R-11 and R-19 insulation. They can install R-11 for $1,600 and R-19 for $2,400. They expect to save $125 per year in heating and cooling expenses if R-11 is installed. How much extra must they save in utility expenses per year in order to justify the R-19 insulation if they expect to recover the extra cost in 6 years at an interest rate of 6% per year? The extra savings from the utility expenses per year in order to justify the R-19 insulation must be $ per year.