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Statement and Assumption - Verbal and Reasoning

Directions to SolveIn each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.Give answer
  • (A) If only assumption I is implicit
  • (B) If only assumption II is implicit
  • (C) If either I or II is implicit
  • (D) If neither I nor II is implicit
  • (E) If both I and II are implicit.
Q1:

Statement: The government has decided to pay compensation to the tune of Rs. 1 lakh to the family members of those who are killed in railway accidents. Assumptions:
  1. The government has enough funds to meet the expenses due to compensation.
  2. There may be reduction in incidents of railway accidents in near future.

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

ANS:A - Only assumption I is implicit

Explanation: Clearly, the amount of compensation must have been decided keeping in mind the monetary position of the Government. So, I is implicit. However, nothing can be said about the frequency of railway accidents in future. So, II is not implicit.