An integrated, combined cycle power plant produces 285 MW of electricity by gasifying coal. The capital investment for the plant is $700 million, spread evenly over two years. The operating life of...

Extracted text: An integrated, combined cycle power plant produces 285 MW of electricity by gasifying coal. The capital investment for the plant is $700 million, spread evenly over two years. The operating life of the plant is expected to be 15 years. Additionally, the plant will operate at full capacity 77% of the time (downtime is 23% of any given year). The MARR is 7% per year. a. If this plant will make a profit of three cents per kilowatt-hour of electricity sold to the power grid, what is the simple payback period of the plant?.