Directions: In the question below is given a statement followed by two assumptions numbered I and II. An assumption is something supposed or taken for granted. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement:

In 2020, Company D made 15% more profit than Company C. In 2021, the sale of Company C increased so much that they made a profit of 65%. At the same time, Company D faced a huge loss due to fewer sales which made the authority fire some of their old employees.

Assumption:

I. According to the authority the sale may increase by firing old employees.

II. Company C will hire those employees as they made profit.

1
Only assumption I follows but assumption II does not follow
2
Only assumption II follows but assumption I does not follow
3
Neither assumption I nor II follows
4
Either assumption I or II follows
5
Both assumption I and II follow

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