Directions: In the question below are given a statement followed by two courses of action numbered I and II. A course of action is a step or administrative decision to be taken for improvement, follow-up or further action regarding the problem, policy, etc. Considering the information given in the statement to be true, decide which of the suggested courses of action logically follow(s) for pursuing.  

Statement: Company G finds out from its annual reports that outsourcing one of its non-core activities has increased its expenses. What should company G do?

Courses of action:

I. The company should withdraw from the outsourcing services.

II. The company should continue outsourcing its non-core activities.

1

Only I follows.

2

Only II follows.

3

Either I or II follows.

4

Neither I nor II follows.

5

Both I and II follow.

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