1000 cr test11

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1000 cr test11

by magical cook » Tue Apr 03, 2007 8:59 am
Hi,

The answer is B) but why industrial customers switch to oil when natural gas still remains low?? (I thought the answer is E) cause the text stress about relationship between winter and oil price)

Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so. Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.
Which of the following, if true, provides the most support for the conclusion above?
(A) Long-term weather forecasts predict a mild winter.
(B) The industrial users who consume most natural gas can quickly and cheaply switch to using oil instead.
(C) The largest sources of supply for both oil and natural gas are in subtropical regions unlikely to be affected by winter weather.
(D) The fuel requirements of industrial users of natural gas are not seriously affected by the weather.
(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.

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by rajesh_ctm » Tue Apr 03, 2007 5:56 pm
Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so. Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.

Oil price will be low, therefore natural gas price will low. How do we conclude this?
We need a connection between "oil price to industrial consumers" and "natural gas price to industrial consumers". If the users of natural gas can easily shift to oil, the price of both will be related. So B is what we need.

Why E does not serve?
(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
Our given statement is that unless the winter is severe, price of natural gas will be low. E says oil distribution is more likely to be affected by severe winter.
Doesn't quite agree, and doesn't give what we need.

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by magical cook » Tue Apr 03, 2007 8:27 pm
ohh :o I got it - thanks!

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by pavitkumar » Sun Jan 23, 2011 1:11 pm
Why can't C be the answer??

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by mundasingh123 » Sat Feb 05, 2011 2:01 am
rajesh_ctm wrote:Despite the approach of winter, oil prices to industrial customers are exceptionally low this year and likely to remain so. Therefore, unless the winter is especially severe, the price of natural gas to industrial customers is also likely to remain low.

Oil price will be low, therefore natural gas price will low. How do we conclude this?
We need a connection between "oil price to industrial consumers" and "natural gas price to industrial consumers". If the users of natural gas can easily shift to oil, the price of both will be related. So B is what we need.

Why E does not serve?
(E) Oil distribution is more likely to be affected by severe winter weather than is the distribution of natural gas.
Our given statement is that unless the winter is severe, price of natural gas will be low. E says oil distribution is more likely to be affected by severe winter.
Doesn't quite agree, and doesn't give what we need.
I disagree on why E is Incorrect.
In case of severe winter, if Oil Distribution is affected , Ind. Customers will prefer to switch to Natural gas ,so the natural gas prices will rise
I Seek Explanations Not Answers