Discussion :: Statement and Assumption
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Statement: The Government has decided to levy 2 percent on the tax amount payable for funding drought relief programmes.
Assumptions:
- The Government does not have sufficient money to fund drought relief programmes.
- The amount collected by way of surcharge may be adequate to fund these drought relief programmes.
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A.
Only assumption I is implicit
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B.
Only assumption II is implicit
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C.
Either I or II is implicit
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D.
Neither I nor II is implicit
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E.
Both I and II are implicit
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Answer : Option E
Explanation :
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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