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Could you please include an excel table with its values? Thank you. Here is the pro forma template Question 1 (20 points): Develop a pro
Could you please include an excel table with its values? Thank you.
Here is the pro forma template
Question 1 (20 points): 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 O. 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 same 3-Year MACRS schedule that we used in class. The plant faces a 34% tax rate There are no accounts payable or receivable, but the plant is assumed to have a cash net working capital requirement of $300,000, beginning in Year O. This working capital can be liquidated at the end of the final year of operation. The lifetime of the plant is 5 years The discount rate is 20% The plant qualifies for a production subsidy of $200,000 per year for all operating years. A hint here is to model this production subsidy as a revenue source The plant produces 10,000 Megawatt-Hours (MWh) of electricity in each year, Years 1 through5 (You'll need this to calculate LCOE.)Step by Step Solution
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