Based on Muckstadt and Wilson (1968). PSI believes it will need the amounts of generating capacity (in millions of kwh) shown in the file P06_80.xlsx during the next five years. The company has a choice of building (and then operating) power plants with the capacities (in millions of kwh) and costs (in millions of dollars) also shown in the file P06_80.xlsx. Determine how to minimize the total cost of meeting PSI’s generating capacity requirements for the next five years.
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