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Business Studies

Stock Market

Statement: Th...

Question

Statement: The regulatory authority has set up a review committee to find out the reasons for unstable stock prices.
Assumptions:
I. The investors may regain confidence in stock market by this decision.
II. The review committee has the expertise to find out the causes for volatility in the stock market.

A

Only assumption I is implicit

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B

Only assumption II is implicit

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C

Either I or II is implicit

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D

Neither I nor II is implicit

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E

Both I and II are implicit

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Solution

The correct option is D Both I and II are implicit
Clearly, I mentions the aim for which the step talked about in the statement, has been undertaken while II mentions the essential requirement for it. So, both I and II are implicit.

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