Consider an Electric Utility That May Use Either Coal or Natural

question 11

Multiple Choice

Consider an electric utility that may use either coal or natural gas to generate electricity. Under which of the following conditions is co-firing equipment most valuable? Let a_c be the annual standard deviation of coal prices, and let a_n be the annual standard deviation of natural gas prices and p the correlation between coal prices and natural gas prices.

• A)a_c high, a_n high, p low
• B)a_c high, a_n low, p low
• C)a_c low, a_n high, p low
• D)a_c low, a_n low, p high

---

Definitions:

Metacognitive Abilities

The awareness and understanding of one’s own thought processes, allowing individuals to regulate their learning.

Middle Years

A period in human life, often considered as middle adulthood, encompassing ages approximately 40 to 65, characterized by established life structures and potential mid-life transitions.

Rote Learning

is a memorization technique based on repetition, often without an understanding of the reasoning or relationships behind the information being learned.

Selective Rehearsal

A cognitive process in memory in which only certain information is rehearsed or repeatedly practiced, enhancing its storage and retrieval from long-term memory.