Direction: In each question below, is given a statement followed by two assumptions numbered I and II. An assumption is something supposed or taken for granted. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.
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Statement
Banks should always check financial status before lending money to a client,
Assumptions
I. Checking before lending would give a true picture the client's financial status.
II. Clients sometimes may not present the correct picture of their ability to repay loan amount to the bank.
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- if only Assumption I is implicit
- if only Assumption II is implicit
- if either Assumption I or II is implit
- if neither Assumption I nor II is implicit
Correct Option: A
Assumption I is implicit in the norm prescribed in the statement. This is the the reason why checking is being advised. However, II vague. If cross checking is what the speaker has in mind, II would become implicit.
