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Statements and Assumption Test - 1

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Statements and Assumption Test - 1
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  • Question 1
    1 / -0

    Statement: The government has decided to disinvest large chunk of its equity in select public sector undertakings for a better fiscal management.

    Assumptions: I. The amount generated out of the disinvestment process may reduce substantially the mounting fiscal deficits.
    Assumptions: II. There will be enough demand in the market for the shares of these undertakings.

    Solution

    The fact given in I directly follows from the phrase? ??. for a better fiscal management? in the statement. So, I is implicit. However, the public response to the new policy cannot be ascertained. So, II is not implicit.

     

  • Question 2
    1 / -0

    Statement: The civic authority has advised the residents in the area to use mosquito repellents or sleep inside nets as large number of people are suffering from malaria.

    Assumptions: I. Local residents have enough money to arrange for the repellents or nets.
    Assumptions: II. People may ignore and continue to get mosquito bites as they have other pressing needs.

    Solution

    The civic authority has advised residents to keep away from mosquitoes to avert the risk of malaria. Such an advice would surely be adhered to by the people. So, II is not implicit. Besides, it has been advised to use mosquito repellents or nets. This means that people can afford to buy the same. So, I is implicit.

     

  • Question 3
    1 / -0

    Statement: Many historians have done more harm than good by distorting truth.

    Assumptions: I. People believe what is reported by the historians.
    Assumptions: II. Historians are seldom expected to depict the truth.

    Solution

    The fact that historians have done harm by distorting truth, means that people believe what is reported by the historians. So, I is implicit. II does not follow from the statement and so it is not implicit.

     

  • Question 4
    1 / -0

    Statement: The X - Arilines 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.
    Assumptions: II. Other airline companies may also hike the passenger fares.

    Solution

    Clearly, such decisions are taken only 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.

     

  • Question 5
    1 / -0

    Statement: Cases of food poisoning due to consumption of liquor are increasing in rural areas.

    Assumptions: I. Percentage of people consuming liquor is more in rural areas.
    Assumptions: II. There are many unauthorized spurious liquor shops in the rural areas.

    Solution

    The statement talks of number of cases of food poisoning due to consumption of liquor and not of the number of cases consuming liquor. So, I is not implicit. Besides, the statement indicates that people in rural areas are getting spurious or low-grade liquor and no check is being kept on shops selling liquor there. So, II is implicit.

     

  • Question 6
    1 / -0

    Statement: I cannot contact you on phone from Karshik.

    Assumptions: I. Telephone facility is not available at Karshik.
    Assumptions: II. Nowadays it is difficult to contact on phone.

    Solution

    The statement indicates the impossibility of phone contact from Karshik. Thus, the fact in I may be assumed from the given statement. So, I is implicit. However, II indicates difficulty, not the impossibility of contact as is indicated in the statement. So, II is not implicit.

     

  • Question 7
    1 / -0

    Statement: The company has the right to reject any application from without furnishing any reason while sorting the list of candidates for interview
    Statement: A condition mentioned in the employment notice.

    Assumptions: I. It is desirable to call only eligible candidates for interview.
    Assumptions: II. The company believes in following impartial practice in all its functions,

    Solution

    Since the statement talks of the company short-listing the candidates to be called for interview, so I is implicit. However nothing can be deduced about whether the company would make a partial or fair selection of candidates. So, II is not implicit

     

  • Question 8
    1 / -0

    Statement: Safety and health practices in many Indian companies are well below the international standards.

    Assumptions: I. International standards of health and safety are ideal and unrealistic,
    Assumptions: II. Indian organizations do not consider safety and health management as their prime social responsibility.

    Solution

    The statement talks about the safety and health practices in India companies being far below international standards. It is clearly a criticism of India organizations not paying considerable attention to these aspects. So, II is implicit. The international standards demand perfection and are, in no way, non-achievable. So, not implicit.

     

  • Question 9
    1 / -0

    Statement: The regulatory authority has set up a review committee to find out the reasons for unstable stock prices.

    Assumptions: I. The investors may regain confidence in stock market by this decision.
    Assumptions: II. The review committee has the expertise to find out the causes for volatility in the stock market.

    Solution

    Clearly, I mentions the aim for which the step talked about in the statement, has been undertaken while II mentions the essential requirement for it. So, both I and II are implicit.

     

  • Question 10
    1 / -0

    Statement: 'But out of A, B, C and D products, you buy B which alone is based on the international technology.' A shopkeeper tells a customer.

    Assumptions: I. The customers normally accept the recommendation of the shopkeeper.
    Assumptions: II. Use of international technology is supposed to ensure better quality standards.

    Solution

    The shopkeeper tells the customer the merits and demerits of various products, thus making it easy for him to choose. So, I is implicit. Since the shopkeeper stresses on buying B because it is based on international technology, so II is also implicit.

     

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