GMAT Verbal Test Prep

Category - GMAT Verbal Practice Test Questions

Palladium, a soft shiny silvery-white metal, is one of six platinum group metals and is relatively rare. It was discovered in 1803 by William Hyde Wollaston. Palladium often replaces platinum since it is cheaper, harder and lighter. It can be drawn into wire or hammered out into sheets, it is often mixed with gold for “white gold” jewelry. Palladium can also be used to make surgical instruments. Automobile manufacturers need the world’s palladium for catalytic converters. Along with gold, silver, and platinum, palladium is a precious metal owned and traded by investors.

Palladium mining is an intricate process because it is spread out under the earth’s surface. Mining palladium uses mechanical extraction methods that simplify the process. Makes it easier to get down into the Earth’s crust. The reserves in the upper portions of the crust is becoming depleted, so miners have to dig deeper. Most palladium is in Russian, North America, South Africa, and South America. The largest North American palladium mine - Montana’s Stillwater mine - is located in the United States. In South Africa, there is the largest proportion of palladium and platinum resource located mainly at the Bushveld Igeneous Complex.

Which statement is a valid inference based on the information in this passage?
  1. Either platinum or palladium could be used in manufacturing catalytic converters.
  2. Silver is worth more than Palladium when traded by investors.
  3. Most palladium is used in the manufacture of jewelry and surgical instruments.
  4. The world’s supplies of palladium are almost completely depleted.
Explanation
Answer [A]: Since the passage states that palladium often replaces platinum, a valid inference is that platinum could be used in manufacturing catalytic converters. There is no indication of the relative value of silver and palladium, and the author does not indicate which industries purchase more palladium than others. Finally, while the passage does state that palladium near the surface of the earth is depleted, it goes on to explain that the metal is mined by digging deeper.
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