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Reso 2008-1356
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Reso 2008-1356
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Last modified
7/16/2010 3:52:39 PM
Creation date
11/18/2009 2:26:35 PM
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CityClerk-Resolutions
Resolution Type
Resolution
Resolution Number
2008-1356
Date (mm/dd/yyyy)
12/18/2008
Description
Agmt w/Allbrite Electric Srv, Purchase/Install Frequency Modulator for Govt Ctr
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<br />Return on Investment <br /> <br />Return on Investment # FS080408.A690x1 <br /> <br />Outright Purchase <br />I ne rollOWlng (aDle oU(IInes me finanCial conSlOera(IOns or me prO]eCL <br />Implementation of ElectroFlow ™ is probably one of the best investment your <br />company Can make. Economic conditions will not affect ElectroFlow TM'S rate of <br />returns, as compared to your other investments. In other words, ElectroFlow ™ is a <br />recession proof investment. ElectroFlow ™ savings is profit that is available <br />immediately, and its rate of return is one of the highest in the world. Such energy <br />savings is complemented with the effects of reduced downtime, and increased <br />longevity of your equipment and machinery. <br /> <br />Project Cost: <br />Average Monthly Savings: <br />Annual Savings: <br />Simple Payback Period: <br />Return on Investment (ROI): <br /> <br />36697 USD <br />807 USD <br />9678 USD <br />45.5 months <br />26.4 % <br /> <br />Tax Savings <br /> <br />ElectroFlow™ qualifies for depreciation allowances. The following table is for <br />illustrative purposes and makes certain assumptions regarding your company's tax <br />bracket (Federal and State), and the method of depreciation your accountant will use. <br />We have assumed straight-line depreciation over five years with no salvage value. <br /> <br />Annual Allowance: <br />Assumed Tax Bracket: <br />Annual Tax Savings: <br />Total Tax Savings: <br /> <br />7339 USD <br />38 % <br />2789 USD <br />13945 USD <br /> <br />Project Cost: <br />Less Tax Savings: <br />Net Cost: <br />After Tax ROI: <br />Payback Period: <br /> <br />36697 USD <br />13945 USD <br />22752 USD <br />42.5 % <br />28.2 months <br /> <br />For the purpose of showing the after tax Payback Period, we used the pro-rata <br />depreciation allowance, up to the time the project cost is paid back. This means you <br />will have several more years of tax savings, which has not been applied to the after <br />tax Payback Period. <br /> <br />24 <br />
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