A generating system has a total capacity of 600 MW. The operating probability of all the units in the system is, P = '0.XX* and the forced outage probability rate is, Q = '0.YY*. a. Investigate the probable forced outages when the capacity is supplied in one, two, three, four and five units. . Draw a "Probability of forced outage" vs “Capacity lost in MW" figure from the computation done in (i). P=0.81 and Q=0.19 For Section 1 and P=0.83 and Q=0.17 For Section 2.

A generating system has a total capacity of 600 MW. The operating probability of all the units in the system is, P = '0.XX* and the forced outage probability rate is, Q = '0.YY*. a. Investigate the probable forced outages when the capacity is supplied in one, two, three, four and five units. . Draw a "Probability of forced outage" vs “Capacity lost in MW" figure from the computation done in (i). P=0.81 and Q=0.19 For Section 1 and P=0.83 and Q=0.17 For Section 2.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter17: Making Decisions With Uncertainty

Section: Chapter Questions

Problem 2MC

See similar textbooks

Similar questions

The Kwik Klean car wash loses $250 on rainy days and gains $1200 on non rainy days. If the probability of rain is 0.13, what is the expected net profit?
ABC Inc. must make a decision on its current capacity for next year. Estimated profits (in $000s) based on next year's demand are shown in the table below. Alternative Expand Subcontract Do nothing Refer to the information above. Assume that ABC Inc. has hired a marketing research firm that provided additional information regarding next year's demand. Suppose that the probabilities of low and high demand are assessed as follows: P(Low) = 0.4 and P(High) = 0.6. What is the expected value under certainty? 160 0 Next Year's Demand Low High $100 $200 $50 $120 $40 $50 140 200
Explain probability and nonprobability samplingtechniques.
In the past four years, the annual returns of one company’s stockare 12%, 18%, and –14%, and 7%.a) What is the geometric average return? b) What is the arithmetic average of the returns? c) According to an economist’ forecast on the Year 2020, the probabilities of repeatingthe performances of the former four years are 30%, 30%, 20%, and 20%, respectively.What is the expected return of the stock in the Year 2020
A company invests on selling computer units worth Php 32,000.00. The probability of maintaining this price throughout the year is 65% while that of less or more than 10% the expected are 15% and 20%, (a) what is the probability that the selling price for that year is more than the expected price? a. 0.8 b. 0.85 c. 0.25 d. 0.2 e. 1 f. 0.15 g. 0.65
The demand for a product of Carolina Industries varies greatly from month to month. The probability distribution in the following table, based on the past two years of data, shows the company's monthly demand. Unit Demand Probability 300 400 500 600 0.20 0.30 0.35 0.15 (a) If the company bases monthly orders on the expected value of the monthly demand, what should Carolina's monthly order quantity be for this product? (b) Assume that each unit demanded generates $70 in revenue and that each unit ordered costs $50. How much will the company gain or lose in a month (indoitars) if it places an order based on your answer to part (a) and the actual demand for the item is 300 units?
Probability Possible Rate of Return 0.25 -0.10 0.15 0.00 0.35 0.10 0.25 0.25 a. Under what conditions can the standard deviation be used to measure the relative risk of two investments? b. Under what conditions must the coefficient of variation (CoVar) be used to measure the relative risk of two investments?
The following table shows the total sales, in thousands, since a new game was brought to market. Month 0 2 4 9 8 10 12 14 Sales 0 2.2 5.4 9.5 19.1 27.2 32.9 35.4 (a) Plot this data and determine the point of diminishing returns. Enter the closest value in the table. The point of diminishing returns occurs i months after the game is introduced. (b) Predict total possible sales of this game, using the point of diminishing returns from the table. Total sales≈ i
A new product has the following profit projections and associated probabilities: Profit Probability $150,000 0.10 $100,000 0.25 $ 50,000 0.20 $0 0.15 -$ 50,000 0.20 -$100,000 0.10 Use the expected value approach to decide whether to market the new product. Because of the high dollar values involved, especially the possibility of a $100,000 loss, the marketing vice president has expressed some concern about the use of the expected value approach. As a consequence, if a utility analysis is performed, what is the appropriate lottery? Assume that the following indifference probabilities are assigned. Do the utilities reflect the behavior of a risk taker or a risk avoider? Profit Indifference Probability $100,000 0.95 $ 50,000 0.70 $0 0.50 -$ 50,000 0.25
1. A person who is 55 year old bought a PHP 2,000,000 life insurance policy at a cost of PHP 1.2 M and has a probability of 0.978 of living to age 56, find the expectation of the policy. 2. nPn-r = ? (Permutations)
A bottling plant i lls 2,400 bottles every two hours. The lead time is 40 minutes and a container accommodates 120 bottles. The safety stock is 10 percent of expected demand. How many kanban cards are needed?
An investor purchases a share of Synovous Bank stock this morning for $2.80. The investor believes the economy will take one of three conditions in the coming year, and each condition will have an impact on the selling price of the stock. The investor's beliefs about the economy are shown below: OUTCOME: Probability Bad for Banks Moderate for Banks Good for Banks 0.37 Submit 0.38 0.25 What is the standard deviation for Synovous returns (based on the investor's returns)? Synovous Price in One Year $2.60 $2.96 $3.46 Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))