1 a small modular nuclear reactor delivers 100 mwe and

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1. A small modular nuclear reactor delivers 100 MWe and has a capital cost of $1500/kWe, costs $5 million/year for refueling, and $6 million/year for nonfuel maintenance costs. If the project lifetime is 25 years and MARR = 6%, what is the levelized cost of electricity per kW-hr?

3. A company is planning to install a new automated plastic-molding press. Four different presses are available. The initial capital investments and annual expenses for these four different alternatives are:

252_What is the levelized cost of electricity.png

Assume each press has the same output capacity of 120,000 units per year, has no salvage value at the end of its useful life, and the minimum attractive rate of return is 10%. The selling price for each plastic molded unit is $0.375 per unit.

a) Which press should you purchase if 120,000 nondefective units per year are produced by each press and all units can be sold?

b) Which press should you purchase is each press still produces 120,000 units per year, but the estimated unit reject rate is 8.4% for P1, 0.3% for P2, 2.6% for P3, and 5.6% for P4, where all nondefective units are sold but the defective units have no market value?

Reference no: EM13372378

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