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Calculation for marginal cost (MC)

If the market price is 12$/MWh, to determine the amount to produce to get maximum
profit, use MC = price. 10.66 + 0.0052P = 12
dC
=10.66+ 0.0052 P=12
dP
P = 257.692

If the price of the electricity is increased to 13 $/MWh, what will be the production in order
to get maximum profit
dC
=10.66+ 0.0052 P=13
dP
P = 450 w

If the generator has maximum limit of 400MW, what amount should it produce?
dC
=10.66+ 0.0052 P=market price
dP

dC
=10.66+ 0.0052( P=400)=12.74 $ / MWh
d ( P=400)

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