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555-605 (Medium)|   Business|   Short Passage|                                       
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ag153
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lolo89516
What I don't understand about Q2 is how do these plants "despite the high compliance costs they impose"?

There is no doubt about the first half of the sentence, but the second half is weird.
Here's the relevant portion of the passage:

Quote:
... older production technologies often continue to generate toxic wastes that were not regulated when the technology was first adopted. New regulations have imposed extensive compliance costs on companies still using older industrial coal-fired burners that generate high sulfur dioxide and nitrogen oxide outputs, for example, whereas new facilities generally avoid processes that would create such waste products.
The part in bold tells us that there are "companies still using older industrial coal-fired burners that generate high sulfur dioxide and nitrogen oxide outputs" and that those "companies face extensive compliance costs".

So we can infer that those companies still generate sulfur dioxide and nitrogen oxide despite the high compliance costs, as stated in choice (C). In this context, "impose" basically means "to cause/bring about" -- by generating those outputs, the companies are forced to pay high compliance costs.

I hope that helps!
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PASSAGE MAP:
  • Myth: Environmental managers believe regulations affect all competitors uniformly
  • Truth: Regulatory costs fall unevenly, benefiting some and disadvantaging others
  • Example 1: Location — plants near larger non-compliant competitors attract less regulatory attention → lower costs
  • Example 2: Size — large plants spread costs across larger revenue base; small plants may be exempt from permit/reporting requirements entirely
  • Example 3: Age of technology — older coal-fired burners generate sulfur dioxide/nitrogen oxide → heavy compliance costs; newer facilities avoid these processes altogether
  • Conclusion: Environmental managers must recognise the myth, anticipate regulatory pressure, and explore how changing regulations affect their company specifically to gain a competitive edge




Q1 — Large plant might spend more than smaller plant because:
(A) Speculation — regulator attention is linked to location near non-compliant competitors, not plant size ❌
(B) Correct — smaller plants are exempt from permit/reporting requirements by virtue of their size, therefore larger plants are not exempt → higher costs ✅
(C) Never mentioned — supply chains and cost passing never discussed ❌
(D) Speculation — older technology and plant size are never linked in the passage ❌
(E) Never mentioned — passage never compares severity of waste between large and small plants ❌


Q2 — Sulfur dioxide and nitrogen oxide outputs:
(A) Speculation — "cannot be adapted" goes beyond what the passage says; it only says older technologies continue to generate these outputs ❌
(B) Speculation — passage mentions compliance costs, never an outright ban or prohibition ❌
(C) Correct — passage explicitly states extensive compliance costs are imposed on plants still using older burners that generate these outputs, and newer facilities avoid them implying older ones have not changed ✅
(D) Opposite — passage implies older plants have not innovated; newer facilities are the ones avoiding these processes ❌
(E) Speculation — passage never compares cost of older production processes vs alternative processes ❌


Q3 — Role of highlighted text about large plants:
(A) Half right — there is a hypothesis earlier but the highlighted text does not disprove it, it supports the truth that counters it ❌
(B) Never mentioned — "on the other hand" only contrasts large vs small plants within one example, not two opposing passage ideas ❌
(C) Correct — the examples support the author's claim/truth that regulations affect companies differently, not the misconception ✅
(D) Opposite — the examples fight against the misconception, they do not exemplify it ❌
(E) Never mentioned — no analogy between two different situations is being drawn ❌


Q4 — Primary purpose:
(A) Wrong verb + wrong scope — "suggest solutions" is never done; author corrects a misconception, not solve environmental problems ❌
(B) Wrong verb + too narrow — passage is about compliance costs not compliance levels, and "illustrate" undersells the author's purpose ❌
(C) Never mentioned — alternatives to traditional methods never discussed anywhere ❌
(D) Too narrow + wrong verb — author never advocates for more compliance, she advocates for strategic thinking ❌
(E) Correct — right verb, right scope. Opens with a myth, corrects it with three examples, concludes with what managers should do instead ✅
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