Discussion :: Statement and Assumption
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Statement: The Reserve Bank of India has directed the banks to refuse fresh loans to major defaulters.
Assumptions:
- The banks may still give loans to the defaulters.
- The defaulters may repay the earlier loan to get fresh loan.
- The banks may recover the bad loans through such harsh measures.
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A.
None is implicit
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B.
Only I and II are implicit
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C.
All are implicit
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D.
Only II and III are implicit
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E.
None of these
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Answer : Option C
Explanation :
Clearly, loans to only major defaulters is being refused. So, the banks may still give loans to some defaulters. Thus, I is implicit. Also, the RBI's decision is a measure to recover the previous loans, since one would have to clear the old debts so as to get a fresh loan. So, both II and III are also implicit.
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