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Verbal Reasoning · Q48

Statement And Assumption

Competitive Exams · Verbal Reasoning · question 48

Q48

Directions : In each of the following questions a statement is given, followed by two conclusions. Give answer : Statement : The X-Airlines has decided to increase the passenger fare by 15 percent with immediate effect. Assumptions : I. The demand for seats of X-Airlines may remain unchanged even after the hike of fare. II. Other airline companies may also hike the passenger fares.

A.
Only assumption I is implicit
Answer
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: Option A

Solution

Answer: Option A
Solution:
Clearly, such decisions are taken only after making sure that it will not affect the company's business adversely. So, I is implicit. However, the impact of this increase on other airlines cannot be ascertained. So, II is not implicit.