Read the following passage and answer the questions that follow:

Diagnostic evaluation is conducted along with formative evaluation during the instructional process. It is carried out based on the data obtained from formative evaluation. Diagnostic evaluation is specially conducted to identify and remove the learning difficulties of learner if it is observed and found during the formative evaluation. For example, if a learner couldn't understand certain concepts in a particular subject and continuously performs poorly in that subject, we conduct diagnostic test to know the causes of the difficulties and accordingly provide them remedial treatment to overcome the difficulties. The key word in diagnostic evaluation is identifying of 'learning difficulities'. Diagnostic evaluation not only solves learning difficulties of learners but also identifies and provides remedies for personal, physical and psychological problems. This can be exemplified as sometime you may find that few students in your class are very nervous to come forward and say something, showing fear towards the friends and teachers because of certain psycho-social disorders and physical disorders.