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How to calculate ROI for a non profit when it is actually losing money?

Aditya asked on Jul 27, 2017 - 2 answers

Our client is a non profit considering investment in a new technology to prevent malaria in Africa. Should they invest in this new technology given the following information:

Every year malaria costs $100M to African Economy.

Current means used to prevent malaria 1: Mosquito nets- Annual Savings- $10 M, Annual Cost- $12M.

Current means used to prevent malaria 2: Mosquito spray- Annual savings- $15M, Annual cost $20M.

New Technology: Annual Savings- Don't Know, Annual Cost- $15M, One time setup cost- $25M.

Should our client invest in this new technology?

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Anonymous A replied on Jul 27, 2017

Please ignore the previous answer

Anonymous A replied on Jul 27, 2017

If our annual savings with this new technology are more than 15M, then we should go ahead with it.

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