In packaged air conditioners the condenser of the refrigeration system is cooled by the atmospheric air. There is an outdoor unit that comprises the important components like the compressor, condenser. The outdoor unit can be located on the roof or any other open place where the free flow of the atmospheric air is available. The fan located inside this building sucks the outside air and or the return air and blows it over the condenser coil cooling it in the process. The condenser coil is made up of several turns of tubing and it is finned externally.
The packaged ACs with the air cooled condensers are used more commonly than the ones with water cooled condensers since air is freely available it is difficult maintain continuous flow of the water.
The cooling unit comprising of the expansion valve, evaporator, the air handling fan and the filter are located on the floor or hanged to the ceiling. The ducts coming from the cooling unit are connected to the various rooms that are to be cooled.