Problem # 3 Exam 1 Gross Profit Calculation Considerations

Problem # 3 Exam 1 Gross Profit Calculation Considerations...

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Print Name:___________________________________________ Problem # 3 (10%) Gross Profit Calculation Considerations for Producing Hydrogen In a class workshop, we considered 3 alternative processes for the production of H 2 and calculated gross profit as follows: Electrolysis: H 2 O+ e- H 2 + 0.5O 2 ; Gross Profit = $3.20/kg H 2 Biomass: CH 1.4 O .67 + 0.165O 2 1.73H 2 + CO 2 ; Gross Profit = $1.35/kg H 2 Steam Methane Reforming (SMR): CH 4 + 2H 2 O 4H 2 + CO 2 ; Gross Profit = $1.50/kg H 2 -------------------------- According to the gross profit calculations, electrolysis is the superior alternative.
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Unformatted text preview: However, it is not practiced to any significant extent today. Identify two factors that are not considered in the gross profit calculation that explain why it is not practiced (2.5% each): (1) (2) SMR produces over 90% of all H2 used today. What issue might be important in the future that will drive its cost up and open the door for biomass to H 2 to have a higher gross profit (5%)?...
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