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please help Problem 4 (2 points): Orlando Power is a GenCo that participates in the trading hour 1PM - 2PM on 10/13/2021. It has following
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Problem 4 (2 points): Orlando Power is a GenCo that participates in the trading hour 1PM - 2PM on 10/13/2021. It has following positions for the trading hour: Signed a long-term contract that sells 460MW to a local utility at 145/MWh Purchased a futures contract to buy 100MW at 12$/MWh Purchased a put option to sell 50MW at exercise price of 15.5$/MWh. The option fee is 1$/MWh. Orlando Power has one generating unit with cost function C = 9.5P+368/ MWh. It turns out that the spot market price for the hour is 13.8 $/MWh. Calculate the profit/loss that Orlando Power can make in this trading hour Step by Step Solution
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