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Question

Data Interpretation & Logical Reasoning (DILR) Question on Statements and Assumptions

In the following question, two statements numbered I and II are given. There may be cause and effect relationship between two statements. These two statements may be the effect of same cause or independent causes. These statements may be independent causes without having any relationship. Read both the statements and mark your answer accordingly.
Statement I: Tax planning has become very necessary these days for the successful running of the business.
Statement II: There are a number of tax laws in the country and they influence almost every aspect of the functioning of modern business.

A

Statement I is the cause and statement II is its effec

B

Statement II is the cause and statement I is its effect

C

Both statement I and statement II are independent causes

D

Both statement I and II are effect of independent causes

Answer

Statement II is the cause and statement I is its effect

Explanation

Solution

The correct option is (B): Statement II is the cause and statement I is its effect