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

It is currently 22 Aug 2014, 06:01

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:
Senior Manager
Senior Manager
avatar
Joined: 31 May 2006
Posts: 381
Location: Phoenix AZ
Followers: 1

Kudos [?]: 5 [0], given: 0

GMAT Tests User
Technological improvements and reduced equipment costs have [#permalink] New post 30 Jul 2006, 11:59
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 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 thirty-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.
CEO
CEO
User avatar
Joined: 20 Nov 2005
Posts: 2922
Schools: Completed at SAID BUSINESS SCHOOL, OXFORD - Class of 2008
Followers: 15

Kudos [?]: 79 [0], given: 0

GMAT Tests User
 [#permalink] New post 30 Jul 2006, 12:03
Looks like a straight C.
_________________

SAID BUSINESS SCHOOL, OXFORD - MBA CLASS OF 2008

Manager
Manager
avatar
Joined: 09 Jul 2006
Posts: 166
Followers: 1

Kudos [?]: 2 [0], given: 0

GMAT Tests User
 [#permalink] New post 30 Jul 2006, 12:09
.
.
.
.
.
.
.
.
.
.
E 85 % C sounds compelling also but there is no mention
of tech change in oil-fired power plants. so it is out.
Manager
Manager
avatar
Joined: 09 Jul 2006
Posts: 166
Followers: 1

Kudos [?]: 2 [0], given: 0

GMAT Tests User
 [#permalink] New post 30 Jul 2006, 15:37
waiting for OA :)
Senior Manager
Senior Manager
avatar
Joined: 31 May 2006
Posts: 381
Location: Phoenix AZ
Followers: 1

Kudos [?]: 5 [0], given: 0

GMAT Tests User
 [#permalink] New post 30 Jul 2006, 20:11
The OA is C. However, I would appreciate if someone could explain why it is not A.
SVP
SVP
avatar
Joined: 30 Mar 2006
Posts: 1741
Followers: 1

Kudos [?]: 25 [0], given: 0

GMAT Tests User
 [#permalink] New post 30 Jul 2006, 20:15
Clear winner C.

If the price of Oil fell dramatically, it would have an effect on the threshold. But the threshold has remained unchanged.
Manager
Manager
avatar
Joined: 09 Jul 2006
Posts: 166
Followers: 1

Kudos [?]: 2 [0], given: 0

GMAT Tests User
 [#permalink] New post 30 Jul 2006, 20:18
:cry:
SVP
SVP
User avatar
Joined: 31 Jul 2006
Posts: 2308
Schools: Darden
Followers: 38

Kudos [?]: 421 [0], given: 0

GMAT Tests User
Re: CR --- Solar and Oil [#permalink] New post 31 Jul 2006, 14:02
C is the clear choice.
Current Student
User avatar
Joined: 29 Jan 2005
Posts: 5253
Followers: 23

Kudos [?]: 126 [0], given: 0

GMAT Tests User Reviews Badge
 [#permalink] New post 23 Aug 2006, 23:08
mailtheguru wrote:
The OA is C. However, I would appreciate if someone could explain why it is not A.


1. We don`t know the current price per barrel of oil (in the context of this passage). Could be $10 or $100 p/barrel??

2. Even if we did know the ppb, who's to say that the sudden drop wasn't a market anomaly and prices wouldn`t return to their original level after a few days, weeks, years of trading...???
Manager
Manager
avatar
Joined: 22 Aug 2006
Posts: 57
Location: Moscow, Russia
Followers: 1

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

Re: CR --- Solar and Oil [#permalink] New post 24 Aug 2006, 05:25
it's C. Fr A, even if the cost of oil has fallen dramatically, taty's beside the point: the question deals with the cost efficiency of solar power. Also, we know nothing about the cost of oil since the stimulus talks only about the price.
_________________

________________________________
"Amicus Plato, sed magic amica veritas"

Manager
Manager
avatar
Joined: 31 Jul 2006
Posts: 242
Followers: 3

Kudos [?]: 18 [0], given: 0

GMAT Tests User
 [#permalink] New post 24 Aug 2006, 15:10
My answer is C
  [#permalink] 24 Aug 2006, 15:10
    Similar topics Author Replies Last post
Similar
Topics:
Technological improvements and reduced equipment costs have shikhar 1 13 Mar 2012, 10:54
31 Experts publish their posts in the topic Technological improvements and reduced equipment costs have rohansherry 33 21 Aug 2009, 11:46
Technological improvements and reduced equipment costs have spriya 4 10 Aug 2008, 23:14
3 Technological improvements and reduced equipment costs have lexis 15 08 May 2008, 11:34
Technological improvements and reduced equipment costs have kimmyg 6 13 Sep 2005, 04:33
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®.