Read the following passage and answer the question given below: The Power…
2023
Read the following passage and answer the question given below:
The Power Finance Corporation has reported that the aggregate technical and commercial (AT and C) losses of discoms have gone up from 20.7 percent in 2019-20 to 22.3 percent in 2020-21. The AT & C estimate gives us an idea of the losses a distribution company (discom) faces in its line of business. In layman's terms, if a discom has received 100 units of power, the AT & C figure will tell us how many units are not recovered in terms of revenue. So, a figure of 25 per cent would mean that for every 100 units of power fed into the discom, 25 units are not recovered. Consequently, the discom has to operate with a recovery of only 75 units. Broadly, the losses in the system comprise technical losses and commercial losses, the latter largely implying theft. Some technical losses are inevitable in a distribution system but these can vary a lot across discoms (roughly between 4 to 12 per cent) depending on the technology adopted, the condition of the distribution infrastructure, etc. Commercial losses are due to meters not being read, faulty meters, meters being manipulated or bypassed, etc. The Indian distribution system has always faced high AT & C losses (in excess of 30 per cent in the early 2000s), which drains the discoms financially and makes them economically unviable.
Which among the following are likely to be the technical losses of discoms?
A. 5%
B. 20%
C. 11%
D. 8%
Choose the correct answer from the options given below:
Answer: B. A, C and D only — ConceptWhen a passage gives a numerical interval, a value satisfies the stated condition only when it lies between the lower and upper bounds. For a…
- A.
A, B and C only
- B.
A, C and D only
- C.
B, C and D only
- D.
A, B, C and D
Show answer & explanation
Correct answer: B
Concept
When a passage gives a numerical interval, a value satisfies the stated condition only when it lies between the lower and upper bounds. For a combination, every listed member must satisfy that interval.
Application
The passage states that technical losses vary roughly from 4% to 12%.
The value 5% lies between 4% and 12%.
The value 20% is above the upper bound of 12%.
The value 11% lies between 4% and 12%.
The value 8% lies between 4% and 12%.
Contrast
The set {5%, 20%, 11%} includes the 20% value.
The set {20%, 11%, 8%} includes the 20% value.
The set {5%, 20%, 11%, 8%} includes all four values, including 20%.
Cross-check
For the set {5%, 11%, 8%}, the minimum is 5% and the maximum is 11%; both endpoints remain within the stated 4%–12% interval.
Therefore, the qualifying values are 5%, 11%, and 8%.