Calculate the value of a 100 MW FTR where the LMP at the source node is $10/MWh and the LMP at the sink node is $40/MWh.

total value 100 MW FTR is $3000

Explanation:

given data

source node = $10/MWh

sink node = $40/MWh

to find out

value of a 100 MW FTR

solution

we find first value 100 MW FTR for source node that is

value 100 MW FTR = 100mw * 10/mwh

value 100 MW FTR = $1000 ... 1

and

value 100 MW FTR for sink node that is

value 100 MW FTR = 100mw * 40/mwh

value 100 MW FTR = $4000 ... 2

so from 1 and 2 equation total value 100 MW FTR

total value 100 MW FTR = 4000 - 1000

total value 100 MW FTR = $3000