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Assertion (A): Doubling plant capacity raises the capital cost by roughly half again.

Reason (R): Cost scales with capacity raised to a power near 0.6.

Select the correct answer from the options below.

  • A.A is false but R is true
  • B.Both A and R are true, and R is the correct explanation of A
  • C.Both A and R are true, but R is not the correct explanation of A
  • D.A is true but R is false

Answer: B

Correct answer: Both A and R are true, and R is the correct explanation of A

\(2^{0.6} = 1.52\), so doubling the capacity raises the cost by about half again - the assertion is the arithmetic consequence of the reason. The exponent below one reflects the fact that a vessel’s cost grows with its surface while its capacity grows with its volume.

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