Develop a pro forma set of income and cash flow statements for a
wind energy plant with the following parameters, and calculate the
plant’s NPV, IRR and LCOE:
-Overnight capital costs are $1.2 million, all incurred in Year
0. There is no land acquisition cost assumed here.
-The plant has a salvage value of $200,000 at the end of the
plant’s life
-Annual revenues from spot market sales are $400,000.
-Annual operating costs are $30,000.
-The plant qualifies for the...