Reasoning - Statement and Assumption - Discussion

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Q.

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 B. Only assumption II is implicit
C. Either I or II is implicit D. Neither I nor II is implicit

Answer: Option A
Explaination:

 


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.




Discussion

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