Finance and Economics Activity - Assignment Example

Finance and Economics Activity Affiliation with more information about affiliation, research grants, conflict of interest and how to contact Finance and Economics Activity Part 1: Cost Benefit Analysis: Introduction: LED lighting is an element that indicates how much technological advancement human beings have achieved and it is definitely something that defines future as well as the futuristic era. This is due to the fact that currently most of the industries retrofit their premises to cut power expenditure and they turn to LED lights as a solution for decreasing the overall power outlay. In the present scenario, LED technology shows potential for the most excellent key to secure a company’s energy inefficiencies. This essay analyses LED and T8 lights technologies and discusses their merits and demerits in addition to providing solutions for both power efficient lighting. In order to thoroughly understand these technologies, it becomes important to consider elements such as lifetime, power consumption, energy costs, labor costs, light output and the lamp costs, especially while changing the lighting facilities. It has been found that the lighting energy can be saved over 50% by simply using “LED lighting replacement” instead of other traditional forms of lighting (LED vs. Fluorescent Cost, n.d.). Background: An LED light is a product of light-emitting diode (LED), which is collected into a light bulb and used in various lighting equipments. LED lamps have an electrical efficiency and lifespan, which are significantly more efficient when compared to incandescent lamps, and considerably better than the majority fluorescent lamps, with various chips able to emit above “100 lumens per watt” (Lightolier, n.d.). The LED light market is estimated to grow above 12-fold more in the coming decade, from about “$2 billion” in the beginning of 2014 to about “$25 billion” (Advanced Energy Now 2014 Market Report, 2014, p. 5). In 2023, that is a “compound annual growth rate (CAGR)” (Compound Annual Growth Rate, n.d.) of about 25% is expected to occur in terms of the use of LED lights. Unlike most fluorescent and incandescent lamps, LED lights come to complete clarity with no requirement for a preparation time, whereas the life of fluorescent lights is decreased by switching them on and off. First of all, it is seen that the cost of LED is generally higher in comparison to other lights. Degradation of LED dye and covering materials decreases light output to a great extent over time. Furthermore, a number of LED lights are made to be a straightly compatible drop-in replacement for fluorescent lamps or incandescent. Packaging of LED lamps might show the power consumption in watts, lumen output, color temperature in description and sometimes the equal wattage of an incandescent light of similar luminous production. However, LEDs do not emit light in every direction, and their directional features influence the design of lights. The light output of single LEDs is below that of compact fluorescent and incandescent lamps. In the majority cases, multiple LEDs are utilized to form a lamp, even though high-power adaptations are becoming obtainable. LED chips require restricted direct current (DC) electrical power, and thus a suitable power supply is desired. LEDs are unfavorably influenced by high temperature, so LED lamps classically contain heat dissipation fundamentals such as cooling fins and heat sinks. T8 fluorescent lamps are important as the improve vital performance features such as light output, rated life, efficacy, maintained light color and output. This matter of Lighting Answers investigates these features of T8 fluorescent lights and brings them collectively in the background of the whole performance. The price of T8 lamps and the performance features may provide for cost differences. The benefits of LED and T8 Florescent lights can be discussed under the following, such as in terms of maintenance reserves, energy savings, reduced UV and RF emissions, RoHS compliant etc. Features T8 Florescent Light LED Light Wattage 32 15 Starter Needed Yes No Life span 8,000 to 10,000 hrs More than 50,000 hrs Ballast needed Yes No Heat generation High Low Actual power consumption 32 to 38W 15W Recycle fees Yes No Radiation Includes Mercury Vapor No Maintenance fees High No Environmental pollution High No RoHS compliant No Yes Legislation and standards:          The Australian standards for installing lights can be used as a guideline here, and it is to be known that the important set of standards related to “Australian public lighting is the Australian/New Zealand Standard 1158 (AS/NZS 1158)” (Australian Standards, n.d.), which specifies the installation and performance necessities for community lighting. It is up to the councils to decide which principles are relevant in every case and whether to actually light a part or not. This may be done on the environmental considerations, foundation of path type, desired outcomes and in use characteristics.  Cost-Benefit Analysis: Cost-benefit analysis (CBA) is an important method that helps to estimate the strengths and weaknesses of choices, which satisfy activities, transactions and efficient conditions for a particular business. It is a method that is used to decide choices that give the best method for the practice and adoption in terms of benefits in cost and time savings, labour etc. The cost analysis of challenging lighting systems contained utilizing the energy cost savings of a more effective lighting method to offset the primary cost of a normal base case. There is a significant variation with solid-state lighting plus energy cost savings, as solid state lighting needs less preservation, is further resistant to control system influences on maintenance cycles, and goes on to work well beyond the rated ending of life. These paybacks have financial significance in ways previously ignored because of the resemblance between ballast systems and fluorescent lamps. The department has 50 light fixtures that hold 2 T8 fluorescent tubes during the rime period of 7am and 11pm. Following is the Cost benefit analysis of replacing 100 fluorescent lights with LEDs. Calculation of the Cost of 100 fluorescent lights with LEDs: “Fixture Quantity x Fixture Wattage = Total Watts Total Watts / 1000 = Kilowatts Kilowatts x (Hours of Usage) = Kilowatt/Hr Kilowatt/Hr x (Cost of Energy) = Annual Cost” (Hovey, 2013). Cost of energy = kWh - cost paid. T8 Linear Fluorescent Lights: Total Watts = 1 x 32 = 32 Kilowatts = 32/1000 = 0.03 Kilowatt/Hr = 0.03 x 16 = 0.48 Cost of energy = 0.48 – 32 = 14.9 Annual Cost = 0.48 x 14.9 = 7. 2 So the cost of 100 fluorescent lights = 7.2 x 100 = 720 LED: Total Watts = 1 x 15 = 15 Kilowatts = 15/1000 = 0.02 Kilowatt/Hr = 0.02 x 16 = 0.32 Cost of energy = 0.32 – 15 = 14.9 Annual Cost = 0.32 x 14.9 = 4.8 So the cost of 100 LED = 4.8 x 100 = 480 Calculating Kwh T8 linear fluorescent Lights LED Total Watts 32 15 Kilowatts 0.03 0.02 Kilowatt/Hr 0.48 0.32 Cost of energy 14.9 14.9 Annual Cost 7. 2 4.8 a) Australian Standard provides guidelines for lighting to firstly ensure fulfillment with the standards that have been prescribed. Every device may be included into a retrofit lamp, a luminaire or can be a separate part recognized as an LED driver, power module. Like every other light foundations, the LED, its mounting as well as its driver must be safe. Here there are 50 light fixtures that have 2 T8 fluorescent tubes, which operate between 7am to 11pm, and are now to be replaced by LEDs. During the process of replacement one has to consider the condition regarding an output not more than “50V a.c. or 120V ripple free d.c” (Solid State Lighting Product Safety Compliance in Australia and New Zealand, n.d.) and analyze whether it is suitable to give supply to distinct luminaries. b) Currently T8 linear fluorescent lamps have 32 Total Watts. By the replacement of LED it will consist of a total of 15 Watts. Compatibility with current fixtures of T8 linear fluorescent and LED is quite acceptable. c) The life spans of the LED light are more than 50,000 hrs, and that of the T8 linear fluorescent light is between 8000 to 10000 hrs. Therefore, it becomes clear that LED has a greater span of life. The initial purchase prices may be equal for two lights but the running costs will be lower for LEDs due to the reason that they are having less energy consumption. d) A moderate decrease will be seen in comparing the cost of LED and T8 linear fluorescent cost comparison. The annual cost of T8 linear fluorescent is 7.2 and LED is 4.8, which shows cost benefit analysis of T8 linear fluorescent on LED. Recommendations: It is proven that LED is extremely efficient because of its extended lifespan and enhanced efficiency. A lot of companies have effectively purchased LED exit symbols and replaced lighting fixtures with LED lights. On the other hand, T8 fluorescent lights had carried out considerably better in many studies that are vital to residential and commercial usage. While looking for replacement from old T8 fluorescent lighting fixtures to a more proficient technology, it is significant to value crucial factors, for example, the CRI rating, heat dissipation, efficacy, lifespan and overall cost of the lights. It is seen that LED possesses all the mentioned qualities and is recommendable for future use. Conclusion: In this study of cost benefit analysis, the LED provides slightly more efficient light delivery for prismatic lensed and parabolic luminaires, in spite of its less efficient delivery in basket type luminaries. Cost of the LED lights continues to be the main remaining hurdle stopping their extensive appropriateness for this application. The costs of LED lights and fluorescent lights are assessed in this study averaged between 7 am and 11 pm. T8 linear fluorescent accounts to 32 Total Watts and thus after the replacement with LED is done, Total Watts will be 15. The life spans of the LED light are above 50,000 hrs, and of the T8 linear fluorescent light is very low comparatively, that is, between 8000 and 10000 hrs. So LED is higher in life span. The annual cost of T8 linear fluorescent is assessed as 7.2 and LED is 4.8, which shows cost benefit analysis of T8 linear fluorescent over LED. Part 2: Hospital Statistics: The objective of this study is to know the occurrence of infection in orthopedic, O&G General – Minor, Plastics, General Major, Scopes and Day Case department of a 250 bed hospital. Infection in surgical procedure is a tragedy as much for the surgeon as it is for the patient. Its occurrence has to be minimized with the help of up to date theatre clinical facilities and aseptic procedures. But in developing nations its dominance is still increasing. It is said that prevention is better than cure, and it is the same case here too. According to the announcement that has been made for all HISM Healthcare hospitals for performance enhancement incentive payment, they are required to decrease their rate of post-operative infection under objective levels. Therefore, it is necessary to calculate the percentage of post infection rate. “The senior health information manager at a 250 bed hospital is to determine” (Cost Benefit Analysis – Finance and Economics Activity, n.d.) whether the target has been met by plotting the infection rate data on graph for the 12 months from April 2013 to April 2014. Therefore, by analyzing the percentages obtained, it is clear that no department has met with the target provided. For a 250 bed hospital the target fixed was $9,000 for a decrease rate of inspection by 30%. So it can be seen that the hospital is not eligible for getting an incentive rate. Reference List Advanced Energy Now 2014 Market Report. (2014). Navigant Research. Retrieved from http://www.eenews.net/assets/2014/02/18/document_ew_01.pdf Australian Standards. (n.d.). Retrieved from http://www.darksky.org/assets/documents/Country-Australian-Standards.pdf Compound Annual Growth Rate. (n.d.). Chartrecipes.com. Retrieved from http://www.chartrecipes.com/uploads/1/3/2/7/13276896/article_cagr.pdf Cost Benefit Analysis – Finance and Economics Activity. (n.d.). ExpertsMind.com. Retrieved from http://www.expertsmind.com/library/cost-benefit-analysis-finance-and-economics-activity-5120658.aspx Hovey, J. (2013). How to Calculate Watts for Analyzing Energy Efficiency Projects. Hovey Companies. Retrieved from http://www.hoveyelectric.com/hovey-electric-power-blog/bid/55242/How-To-Calculate-Watts-For-Analyzing-Energy-Efficiency-Projects LED vs. Fluorescent Cost. (n.d.). LED. Retrieved from http://rmstoof.com/pdf/LED_advantages.pdf Lightolier, P. (n.d.). Resources. Lightolier.com. Retrieved from http://www.lightolier.com/MKABrochures/Comprehensive/CLC7E_12_Resources.pdf Solid State Lighting Product Safety Compliance in Australia and New Zealand. (n.d.). Lighting Council Australia. Retrieved from http://www.lightingcouncil.com.au/pdf/news/Lighting%20Council%20Australia%20Technical%20News%20No%2018%20amended%20version.pdf Read More