Eight years ago when the relative cost index was 60, a 10 MW power generation facility cost $5M to build. Today the cost index is 110. What would the cost be to produce a 25MW facility today if the power sizing factor is 0.6?
Eight years ago when the relative cost index was 60, a 10 MW power generation facility cost $5M to build. Today the cost index is 110. What would the cost be to produce a 25MW facility today if the power sizing factor is 0.6?
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter8: Cost Analysis
Section: Chapter Questions
Problem 4E
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Eight years ago when the relative cost index was 60, a 10 MW power generation facility cost $5M to build. Today the cost index is 110. What would the cost be to produce a 25MW facility today if the power sizing factor is 0.6?
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