Direction: In each question below is given a statement followed by two assumptions number I and II.
An assumption is something supposed or taken for granted. You have to consider the statement and the following assumption and decide which of the assumptions is implicit in the statement.
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Statement:
Bank should always check financial status before lending money to a client.
Assumption:
I. Checking before lending would give a true picture of the client financial status
II. Client 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 implicit.
- if neither assumption I nor II is implicit.
- if both assumption I and II are implicit.
- if only assumption I is implicit.
Correct Option: A
I is implicit in the norm prescribed in the sentence. This is why checking is being advised. Again, what would the banks check? Obviously, what the clients reveal. Banks would assume the revelation to be true. Hence I is not implicit. However , II is vague. If cross-checking is what the speaker has in mind II would become implicit.
