This paper defines mode shape function of a composite solar panel assumed as Kirchhoff-Love plate for considering a torsional mode of composite solar panel. It then goes on to define dynamic model of a high-agility satellite considering the flexibility of composite solar panel as well as stiffness of a solar panel's hinge using Lagrange's theorem, Ritz method and the mode shape function. Furthermore, this paper verifies the validity of dynamic model by comparing numerical results from the finite element analysis. In addition, this paper performs a dynamic response analysis of a rigid satellite which includes only natural modes for solar panel's hinges and a flexible satellite which includes not only natural modes of solar panel's hinges, but also structural modes of composite solar panels. According to the results, we confirm that the torsional mode of solar panel should be considered for the structural design of high-agility satellite. Finally, we performed optimization of high-agility satellite for minimizing mass with solar panel's area limit using the defined dynamic model. Consequently, we observed that the defined dynamic model for a high-agility satellite and result of the optimal design are very useful not only because of their optimal structural design but also because of the dynamic analysis of the satellite.