Why is the revenue generated at 300 euros for the partnership section?

Oliver Wyman case: Full Electrons Ahead
New answer on Feb 26, 2021
2 Answers
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Ukasha asked on Feb 25, 2021

Based on table 2, where we get stats on the price / KwH and the total km travelled etc, why is the provided answer at a revenue of 300 euros?

Have been mulling over this - would so appreciate some help!

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Ian
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replied on Feb 25, 2021
#1 BCG coach | MBB | Tier 2 | Digital, Tech, Platinion | 100% personal success rate (8/8) | 95% candidate success rate
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Clara
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updated an answer on Feb 26, 2021
McKinsey | Awarded professor at Master in Management @ IE | MBA at MIT |+180 students coached | Integrated FIT Guide aut

Hello!

What usually helps is separating calculations.

1. COST: It´s a one-offper station of 300€ (40% of 750€)

2. REVENUE: It´s 60€ yearly (10% of 0,25 €/kWh * 20/100 kWh/km * 80% * 15000/12)

*NPV: 60€/yearly * 5years of total duration = 300€

Hope it helps!

Clara

(edited)

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Ian gave the best answer

Ian

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