how are the annual expenses calculations solved in this exampel? please show work.

Here we refer back to the chapter opener where the question of the after-tax cost of electricity production was raised. For the PennCo plant, the annual fuel expensel will be $191,346,432 per year. The operating and maintenance expense will be $112,128,000 per year, and the carbon tax will be $73,805,052 per year. The total annual expense of operating the plant will therefore be $377,279,484. Armed with these cost estimates, we can calculate the after-tax cost of the plant by using the template of Figure 7-5 (all numbers are millions of dollars). EOY BTCF Depreciation Depreciation Taxable Cash Flow for Inc Income Income Taxes ATCF 0 -$1,120.000 1 - 30 -377.279 *dx = $1,120/30 = $37.333 37.333* - 414.613 165.845 -$1,120.000 -211.434 The annual worth of the PennCo plant, assuming inflation is negligible, is -$1,120 (A/P, 10%, 30) - $211.434, which equals --$330.266 million. We can calculate the after-tax cost of a kilowatt-hour by dividing this number ($330,266,000) by the electrical output of 5,606,400,000 kWh. It is close to $0.06 per kWh