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Expression of IdeasVery hardPresenting a trade-off in a decision

Expression of Ideas practice question

While researching a topic, a student has taken the following notes: - A school can replace its old boiler with a gas boiler or a heat pump. - The gas boiler costs $30,000 and the heat pump $80,000. - The heat pump's running costs are $6,000 a year lower. - Both are expected to last 20 years. The student wants to show that the heat pump is cheaper over its lifetime despite its higher price.

Which choice most effectively uses relevant information from the notes to accomplish this goal?

  1. A. Although the heat pump costs $50,000 more to install than the gas boiler, it saves $6,000 a year, which over 20 years amounts to $120,000, so it is cheaper in the long run.Correct
  2. B. The heat pump costs $80,000.
  3. C. The heat pump saves $6,000 a year.
  4. D. Both options are expected to last 20 years.

Answer: A. Although the heat pump costs $50,000 more to install than the gas boiler, it saves $6,000 a year, which over 20 years amounts to $120,000, so it is cheaper in the long run.

Extra cost against total saving.

Why the other answers are wrong

B. The heat pump costs $80,000.
The price alone argues against it.
C. The heat pump saves $6,000 a year.
A saving without the comparison.
D. Both options are expected to last 20 years.
Lifespan alone.

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