Question: A consulting engineering firm is preparing a preliminary cost estimate for a 40-MW advanced combined cycle natural gas-fired power plant. The firm, which completed a

A consulting engineering firm is preparing a preliminary cost estimate for a 40-MW advanced combined cycle natural gas-fired power plant. The firm, which completed a similar project in 2012 with a total cost (construction and equipment) of $809.2 million, wants to use a construction cost index to update the construction cost. If the construction cost was assumed to be 25% of the total cost and the index value in 2012 was 8570, estimate the cost of construction for a similar-size plant in 2017 when the index is 9324.

Step by Step Solution

3.43 Rating (166 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

C 2012 0258092 million ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Engineering Economy Questions!