Previous Year Question
Correct answer: A
Explanation
Not all connected loads operate at maximum demand at the same time. Applying load diversity therefore prevents unnecessary oversizing and improves economic utilization of feeders, switchgear and transformers while maintaining safety.
Formula
Step-by-step solution

Correct Answer
A — Optimize the overall design and utilization of the system
Explanation
Not all connected loads operate at maximum demand at the same time. Applying load diversity therefore prevents unnecessary oversizing and improves economic utilization of feeders, switchgear and transformers while maintaining safety.
Key Concept
Diversity in Commercial Installations
Formula
Diversity factor = Sum of individual maximum demands / Maximum demand of the group
Exam Point
Diversity recognizes non-coincident peaks.
Exam tip
Diversity recognizes non-coincident peaks.
Quick method
Diversity recognizes non-coincident peaks.