Statement I: A diversity factor is applied because consumers are in different departments.
Statement II: Not every consumer draws its maximum demand at the same moment.
In the light of the above statements, choose the correct answer.
Answer: A
Correct answer: Statement I is incorrect but Statement II is correct
The diversity factor has nothing to do with where the consumers are; it exists because they do not all draw their maximum at the same instant. Sizing on the sum of individual peaks would buy capacity that is never called for at once.
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