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Statement: The Government has decided to levy 2 percent on the tax amount payable for funding drought relief programmes. Assumptions: The Government does not have sufficient money to fund drought relief programmes. The amount collected by way of surcharge may be adequate to fund these drought relief programmes.

Correct Answer: Both I and II are implicit

Explanation:

Since a surcharge has been levied to fund drought relief programmes, it follows that the Government does not have sufficient money for the same. So, I is implicit. Besides, the percentage of surcharge must have been decided after studying the expected inflow in relation to amount of funds required. So, II is also implicit.

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