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Question

Cause:The government has recently increased its takes on petrol and diesel by about 10%.

Which of the following can be a possible effect of the above cause?


A

The petroleum companies will reduce the prices of petrol and diesel by about 10

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B

The petroleum companies will increase the prices of petrol and diesel by about 5

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C

The petrol pumps will stop selling petrol and diesel till the taxes are rolled back by the government.

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D

None of these

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Solution

The correct option is D

None of these


Companies may hike the price to cover the loss because of the increased tax. But increase in price is totally the matter of company, we cannot make any guesses about it.


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