Abstract: In this study, a computational routine using MATLAB based on the exergy method is developed to determine the exergy loss of LiBr-H O absorption system for cooling that was designed to cool a small building 2 located in University Kebangsaan Malaysia. The performance parameters of the system including the coefficient of performance, the Carnot coefficient of performance, the exergetic efficiency and the efficiency ratio are computed at different operating temperatures. The effects of the main operating conditions on the performance parameters and the non-dimensional exergy loss of the whole system are presented. The results showed that the biggest part exergy losses in the system are in the solar collector and the absorber, regardless of operating conditions. The sum of the exergy losses of these two components is 54%, there by indicating that the designs for the collector and absorber are the most important components of the cycle.