Rankine cycle using ammonia-water mixture as a working fluid has attracted much attention, since it may be a very useful device to extract power from low-temperature heat source. In this work, the thermodynamic performance of regenerative ammonia-water Rankine cycle is thoroughly investigated based on the second law of thermodynamics and exergy analysis, when the energy source is low-temperature heat source in the form of sensible energy. In analyzing the power cycle, several key system parameters such as ammonia mass concentration in the mixture and turbine inlet pressure are studied to examine their effects on the system performance including exergy destructions or anergies of system components, efficiencies based on the first and second laws of thermodynamics. The results show that as the ammonia concentration increases, exergy exhaust increases but exergy destruction at the heat exchanger increases. The second-law efficiency has an optimum value with respect to the ammonia concentration.