HOMER Pro 3.16

Zoom Window Out
Larger Text | Smaller Text
Hide Page Header
Show Expanding Text
Printable Version
Save Permalink URL

Navigation: Glossary

Return On Investment

HOMER Logo

Type:	Output Variable
Units:	%
Symbol:	ROI

The Return on Investment (ROI) is the yearly cost savings relative to the initial investment. HOMER calculates the return on investment with the following equation:

equations_roi

where:
	Ci,ref	= nominal annual cash flow for base (reference) system
	Ci	= nominal annual cash flow for current system
	Rproj	= project lifetime in years
	Ccap	= capital cost of the current system
	Ccap,ref	= capital cost of the base (reference) system

The ROI is the average yearly difference in nominal cash flows over the project lifetime divided by the difference in capital cost.

Note: The year nominal cash flows are available under the Cash Flow tab of the detailed results window. You can export the cash flow data by selecting the Table radio button, and a format from the Export To: drop-down menu.