# Logical Reasoning - Statement and Assumption

Exercise : Statement and Assumption - Section 6
Directions to Solve

In each question below is given a statement followed by three assumptions numbered I, II and III. You have to consider the statement and the following assumptions, decide which of the assumptions is implicit in the statement and choose your answer accordingly.

36.

Statement: The X passenger car manufacturing company announced a sharp reduction in the prices of its luxury cars.

Assumptions:

1. There may be an increase in the sale of luxury cars of Company X.
2. The other such car manufacturers may also reduce their prices.
3. The competitor companies may not reduce their prices.

Only I is implicit
Only I and II are implicit
None is implicit
Only I and III are implicit
None of these
Explanation:
The reduction in prices is clearly a step to promote sales of the company. So, I is implicit. However, other companies may or may not follow the same pursuit. So, either II or III is implicit.

37.

Assumptions:

1. Artificial honey can be prepared.
2. People do not mind paying more for pure and natural honey.
3. No other company supplies pure honey.

Only I is implicit
Only I and II are implicit
Only I and III are implicit
All are implicit
None of these
Explanation:
Artificial honey can be made. That is why the word 'natural' needs to be mentioned in the advertisement. So, I is implicit. No comparison is made of the prices of natural and artificial honey. So, II is not implicit. Nothing about the quality of honey of other companies can be deduced. So, III is also not implicit.

38.

Statement: Unable to manage with the present salary, Arun has decided to join another company.

Assumptions:

1. The new company has better work environment.
2. The present company offers moderate pay packets.
3. The new company offers higher salary to all its employees.

None is implicit
Only II is implicit
All are implicit
Only II and III are implicit
None of these
Explanation:
Nothing about the environment in the new company is mentioned in the statement. So, I is not implicit. Since Arun is not satisfied with the present Salary, it is evident that the present company offers moderate pay packets. So, II is implicit. The statement talks only of Arun and not all the employees of the new company. So, III is not implicit.

39.

Statement: The employees association has appealed to the Managers of Company Z to introduce written examinations for clerical cadre recruitment to prevent selection of incompetent persons.

Assumptions:

1. So far the Company Z used to select candidates without conducting a written examination.
2. A written examination can help to identify competent persons.
3. At higher level, written examination may not be of much use.

Only I and II are implicit
Only II and III are implicit
Only I and III are implicit
Only III is implicit
None of these
Explanation:
An appeal has been made to 'introduce' written examination. This means that so far written examination was not conducted. So, I is implicit. II follows directly from the statement and so it is implicit. However, nothing can be deduced about the mode of selection at higher level. So, III is not implicit.

40.

Statement: To improve the employment situation in India, there is a need to recast the present educational system towards implementation of scientific discoveries in daily life.

Assumptions:

1. The students after completing such education may be able to earn their livelihood.
2. This may bring meaning of education in the minds of the youth.
3. The state may earn more revenue as more and more people will engage themselves in self-employment.

None is implicit
Only I and II are implicit
Only III is implicit
Only I and III are implicit
None of these