Subtitle: CEM Test Practice Questions & Review for the Certified Energy Manager Exam
Isolated retrofit, stipulated assumption for unmeasured factors. Option B: All parameters measured. Card 8 – Front True or False: Power factor correction capacitors reduce kW demand charges. Card 8 – Back A: False. Capacitors reduce kvar , thus lowering kVA (apparent power), which may reduce kVA demand charges , but not kW demand. kW is real power, unchanged by capacitors.
If NPV > 0 → accept project (earns more than hurdle rate). If NPV < 0 → reject. Subtitle: CEM Test Practice Questions & Review for
Exception: Reduced I²R losses in cables can slightly lower kW — usually negligible. Define: Degree-Day method for estimating heating energy. Card 9 – Back A: Heating Energy (MMBtu) = (HDD × UA × 24 hr/day) / (System Efficiency × 10^6)
Also relevant for CEM: ASHRAE/IESNA 100 (Existing Buildings), ASHRAE 62.1 (Ventilation). Practice Question: A plant has annual energy cost $2,000,000. A project saves 8% with a $250,000 cost. What is the ROI first year? Card 13 – Back A: ROI = (Annual Savings / Project Cost) × 100 Card 8 – Back A: False
The effective annual return from the project’s cash flows. Compare to company’s hurdle rate (e.g., 12%). If IRR > hurdle rate → accept.
Savings = $2,000,000 × 0.08 = $160,000 ROI = ($160,000 / $250,000) × 100 = If NPV > 0 → accept project (earns
Boxed set of 300+ double-sided flashcards, plus quick-reference tabs and online access code. System Introduction (Printed on inside cover of card box) Welcome to the most effective rapid-review system for the CEM Exam, administered by the Association of Energy Engineers (AEE). This flashcard system is designed to condense the 5 key CEM exam bodies of knowledge— Energy Accounting & Economics, Energy Audits & Instrumentation, Electrical Systems, HVAC & Thermal Systems, and Building Envelope & Lighting —into high-yield, portable study cards.