Logical Reasoning - Statement and Conclusion - Discussion

In each question below is given a statement followed by two conclusions numbered I and II. You have to assume everything in the statement to be true, then consider the two conclusions together and decide which of them logically follows beyond a reasonable doubt from the information given in the statement.

Give answer:

  • (A) If only conclusion I follows
  • (B) If only conclusion II follows
  • (C) If either I or II follows
  • (D) If neither I nor II follows and
  • (E) If both I and II follow.


Statements: Government has spoiled many top ranking financial institutions by appointing bureaucrats as Directors of these institutions.


  1. Government should appoint Directors of the financial institutes taking into consideration the expertise of the person in the area of finance.
  2. The Director of the financial institute should have expertise commensurate with the financial work carried out by the institute.

[A]. Only conclusion I follows
[B]. Only conclusion II follows
[C]. Either I or II follows
[D]. Neither I nor II follows
[E]. Both I and II follow

Answer: Option E


According to the statement, Government has spoiled financial institutions by appointing bureaucrats as Directors. This means that only those persons should be appointed as Directors who are experts in finance and are acquainted with the financial work of the institute. So, both I and II follow.

Yash said: (Apr 10, 2011)  
Though E is correct answer but der is an argument from my side. It is mentioned that Financial Institutions had been spoiled and in conclusion 2 The Director of the financial institute should have expertise commensurate with the financial work carried out by the institute. mentioned dat Financial work carried out by institute which is actually Financial institute so the works nature is likely to be related with Finance. So Only conclusion 1 follows seems to be a better option.

B. Shankar said: (Jul 4, 2011)  
Main statement includes following statements,
1. Govt has spoilled many financial institutions.
2. All spoiled institutions are top ranking financial institutions.
3. Govt has appointed bureaucrats on spoilled institutions.
4. Govt appointed bureaucrats as director on spoilled institutions.

Dear Yash

Look at above four statements. You will easily conclude that,

a) Director must be expert in finance to avoid spoilage.
b) Director must be exposed to financial institution and their work.

Consider 4 statements as argument and conclude. Your conclusion will be a and b.

Therefore the answer is E.

Uma said: (Jul 30, 2011)  
Dear Shankar

In the statement ,it is not specified anywhere that "Govt has appointed bureaucrats on spoilled institutions"
financial institutions as spoilled only after appointing bureaucrats.

Mahesh said: (May 17, 2013)  
What is the meaning of bureaucrats ?

Nishanth Nagabandi said: (Aug 13, 2013)  
An official in a government department, who are appointed independent of their qualification and are encouraged by politicians for their benefits.

Reena said: (Jul 10, 2016)  
Why not C as answer? As both conclusions saying the same things.

Rahul said: (Jul 4, 2017)  
Which angle you have to seen the statement, I have a question that is in the statement says goverment spoil, the statement is negative meaning is consider or positive meaning consider. I don't understand this so anybody please help me.

Sangeetha said: (May 24, 2019)  
I am not understanding this, please help me.

Aniruddh Balram said: (Aug 8, 2019)  
Should it not be either I or II? As both the conclusions point to the same.

Nitin said: (Nov 25, 2020)  
It should be Option D.

Siddhi said: (Dec 4, 2021)  
Can someone explain this - if only 1 is correct, if either 1 or 2 is correct. Many times these answer statements are confusing.

If we want to say 2 is correct does it means if only 2 is correct. What does it mean 'if only' in the statement?

Please help me to get it.

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