Question: Question 2: Your company is tasked with designing and building a new geothermal power generation plant for a remote community. The plant is intended to

 Question 2: Your company is tasked with designing and building a

Question 2: Your company is tasked with designing and building a new geothermal power generation plant for a remote community. The plant is intended to last forever. Your analysis suggests it will cost $20,000,000 to build. Starting the year after it is constructed, it will cost $250,000 a year to operate. You estimate that 8 years after construction, an overhaul costing $5,000,000 will be required, and that a similar overhaul will be required every 4 years after that, in perpetuity. If construction (and all of its associated costs) takes place 3 years from today, then the determine the amount of money that must be placed in an investment account today to fund the project in perpetuity (forever),at an interest rate of 9%, compounded quarterly

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