Directions : In each of the following questions a statement is given, followed by two conclusions. Give answer :
Table of Contents
Statement : The Government has decided to levy 2 percent on the tax amount payable for funding drought relief programmes.
Assumptions :
I. The Government does not have sufficient money to fund drought relief programmes.
II. The amount collected by way of surcharge may be adequate to fund these drought relief programmes.
A. Only assumption I is implicit
B.Only assumption II is implicit
C.Either I or II is implicit
D.Neither I nor II is implicit
E. Both I and II are implicit
Answer & Solution
Answer: Option E
Solution:
Since a surcharge has been levied to fund drought relief programmes, it follows that the Government does not have sufficient money for the same. So, I is implicit. Besides, the percentage of surcharge must have been decided after studying the expected inflow in relation to amount of funds required. So, II is also implicit.
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