Find all School-related info fast with the new School-Specific MBA Forum

It is currently 24 Oct 2014, 16:51

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

Technological improvements and reduced equipment costs have

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
Manager
Manager
avatar
Joined: 30 Oct 2004
Posts: 137
Followers: 1

Kudos [?]: 7 [0], given: 0

Technological improvements and reduced equipment costs have [#permalink] New post 15 Dec 2004, 17:49
00:00
A
B
C
D
E

Difficulty:

(N/A)

Question Stats:

0% (00:00) correct 0% (00:00) wrong based on 0 sessions
Technological improvements and reduced equipment costs have made converting solar solar energy directly into electricity far more cost-efficient in the last decade. However, the threshold of economic viability for solar power (that is the price per barrel to which oil would have to rise in order for new solar power plants to be more economical than new oil fired power plants) is unchanged at thrity-five dollars.

Which of the following, if true, does most to help explain why the increased cost-efficiency of solar power has not decreased its threshold of economic viability?

a) The cost of oil has fallen dramatically.
b) The reduction in the cost of solar-power equipment has occurred despite increased raw material costs for that equipment.
c) Technological changes have increased the efficiency of oil-fired power plants.
d) Most electricity is generated by coal-fired or nuclear, rather than oil-fired, power plants.
e) When the price of oil increases, reserves of oil not previously worth exploiting become economically viable.

Answer posted below.
Manager
Manager
avatar
Joined: 30 Oct 2004
Posts: 137
Followers: 1

Kudos [?]: 7 [0], given: 0

Answer [#permalink] New post 15 Dec 2004, 17:53
I picked A. The correct answer is C. I read the explanation a number of times. I don't understand why A is not correct. Please help.

This is the part that I don't understand:
"Actual oil prices control how far, given the viability threshold, solar power is from economic viability but do not figure in the determination of the threshold, so choices A and E are incorrect."
Director
Director
User avatar
Joined: 07 Nov 2004
Posts: 697
Followers: 4

Kudos [?]: 20 [0], given: 0

 [#permalink] New post 16 Dec 2004, 06:44
Manager
Manager
avatar
Joined: 30 Oct 2004
Posts: 137
Followers: 1

Kudos [?]: 7 [0], given: 0

Re: CR #153 Solar Energy [#permalink] New post 18 Dec 2004, 14:07
Hi. Thanks for the link. I guess the wordiness of the passage got me confused.
Re: CR #153 Solar Energy   [#permalink] 18 Dec 2004, 14:07
    Similar topics Author Replies Last post
Similar
Topics:
Technological improvements and reduced equipment costs have ricokevin 7 15 Apr 2007, 22:58
Technological improvements and reduced equipment costs have mailtheguru 10 30 Jul 2006, 11:59
Technological improvements and reduced equipment costs have amansingla4 4 25 Jun 2006, 00:59
Technological improvements and reduced equipment costs have kimmyg 6 13 Sep 2005, 04:33
Technological improvements and reduced equipment costs have ruhi 5 04 Nov 2004, 05:11
Display posts from previous: Sort by

Technological improvements and reduced equipment costs have

  Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Privacy Policy| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.