Statement: The Bank of England's move to auction 25 metric tons of gold drew plenty of bidders looking for a bargain, but was criticized by major gold producers worldwide. Conclusions: I. The Bank of England should not auction gold which it possesses to keep steady international prices of gold. II. Bidders should quote higher gold prices to retain present value of gold in the international markets. MCQ with Answer and Explanation

Question

Statement: The Bank of England's move to auction 25 metric tons of gold drew plenty of bidders looking for a bargain, but was criticized by major gold producers worldwide.
Conclusions:
I. The Bank of England should not auction gold which it possesses to keep steady international prices of gold.
II. Bidders should quote higher gold prices to retain present value of gold in the international markets.

A. Only conclusion II follows

B. Only conclusion I follows

C. Neither conclusion I nor II follows

D. Both conclusions I and II follow

Answer: Option C

Solution (By JKSSB Mock Tests)

Neither conclusion follows. The statement merely reports the auction and the criticism; it does not logically lead to a 'should' statement about whether the auction should happen (I). Similarly, advice to bidders (II) is not a logical conclusion from the given information.

This question belongs to: Reasoning Statement and Conclusion

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Question #1

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Statements:
1. Some books are pens.
2. Some pens are erasers.
Conclusions:
I. Some books are erasers.
II. No book is an eraser.
Which conclusion(s) logically follow?

A. Both I and II follow

B. Either I or II follows

C. Only conclusion II follows

D. Only conclusion I follows

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Correct Answer: Option B

Explanation:
There is no direct relationship established between books and erasers. They might overlap, or they might not. Therefore, neither conclusion can be definitively drawn individually. However, they form a complementary pair (Some A are B / No A is B), meaning one of them must be true. Hence, 'Either I or II follows' is the correct logical deduction. (Mapped to option C for this specific question).

This question belongs to: Reasoning Statement and Conclusion