Question: A power company is considering how to increase its generating capacity to meet expected demand in its growing service area. Currently, the company has 7
A power company is considering how to increase its generating capacity to meet expected demand in its growing service area. Currently, the company has megawatts MW of generating capacity but projects it will need the following minimum generating capacities in each of the next five years.
Years
Min Capacity in MW
The company can increase its generating capacity by purchasing four different types of generators MW MW MW andor MW The cost of acquiring and installing each of the four types of generators in each of the next five years is summarized in the following table:
Cost of Generator in $s in Year
Generator Size
MW $ $ $ $ $
MW $ $ $ $ $
MW $ $ $ $ $
MW $ $ $ $ $
Implement the model in MS Excel and report what size generators should be purchased in which year? Optimal soln: $
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