How is the Demand Factor defined in electrical systems?

The Demand Factor is defined as the ratio of maximum demand to the connected load. This concept is crucial in electrical systems because it helps determine the actual usage of electrical power as compared to the total amount that could potentially be used if all connected loads were operating simultaneously at their maximum capacity.

Understanding this ratio is important for electrical design and planning, as it allows engineers to size equipment and circuits appropriately according to expected operational conditions, rather than over-sizing based on total connected load. For instance, if an installation has a high connected load but typically operates at a much lower maximum demand, the demand factor can indicate that less power capacity is needed, leading to cost efficiencies.

The other choices do not accurately capture the definition of demand factor. The ratio of maximum demand to the connected load correctly represents the concept, highlighting the understanding of operational realities versus theoretical maximums in electrical load management.