Solution Analysis (cont.)

• What’s this strategy’s production cost?

• It’s C1(57.14 MW) + C2(67.86 MW).

• = 0.01(57.14)2 + 2.0(57.14) + 100 + 0.004(67.86)2 + 2.6(67.86) + 80

• = 246.93 $/h + 274.86 $/h.

• = 521.79 $/h.

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