A power company is planning to replace a 30-year-old thermal power generator with a capacity of 200 MW with a new generator with a capacity of 1000 MW. a. If the cost was $300 million 30 years ago and is $1000 million today, what is the implied cost-capacity factor? b. If the cost index 30 years ago was 300, and the cost-capacity factor is 0.8, what is the implied cost index today.

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Maximum power transfer theorem

A resistive load will consume maximum power from a network when the load resistance is equal to the resistance of the network as viewed from the open-circuit terminals, with all energy sources removed leaving only the internal resistances. Physicist Moritz von Jacobi introduced the maximum power transfer theorem in 1940. Therefore, this theorem is also known as Jacobi's law.