Methane Digester Economics

The video tutorial explains how to solve a problem involving a cow farm installing a methane digester to produce electricity. It covers the calculation of electricity production from cows, the cost savings from this production, and the payback period for the digester installation. The tutorial uses scientific notation and basic arithmetic operations to derive the solutions.

What is the initial cost of installing the methane digester on the farm?

• $500,000

• $400,000

• $300,000

• $200,000

How many kilowatt hours of electricity can one cow produce in a day?

• 1 kWh

• 3 kWh

• 4 kWh

• 2 kWh

How many kilowatt hours of electricity can be produced in a year by 500 cows?

• 5.475 x 10^6 kWh

• 1.5 x 10^6 kWh

• 1.5 x 10^5 kWh

• 5.475 x 10^5 kWh

What is the cost of electricity per kilowatt hour on the farm?

• 20 cents

• 15 cents

• 10 cents

• 5 cents

How much money can the farmer save in a year from the electricity produced by the cows?

• $45,000

• $50,000

• $55,000

• $60,000

What is the payback period in years for the methane digester installation?

• 5 years

• 8 years

• 6 years

• 7 years