Critical Reasoning — Assumptions Statement: “The State Government has unilaterally increased by five percent the octroi on all commodities entering the state without seeking approval of the Central Government.” Which assumptions are implicit?

Introduction / Context:
The statement reports a unilateral state action to increase octroi by 5% without Central approval. We must identify necessary background assumptions that make this action meaningful.

Given Data / Assumptions:

• I: The State Government may be able to implement its decision.
• II: The Central Government may agree to support the State Government's decision.
• III: The State Government may be able to earn considerable amount through the additional octroi.

Concept / Approach:
Ask: what must be true for taking unilateral action to be purposeful? Feasibility of implementation and expected revenue gains are logical. Anticipated Central support, however, contradicts “without seeking approval.”

Step-by-Step Solution:
1) I is necessary in spirit: if the state could not implement its own order, the unilateral step would be pointless.2) II is not necessary and is even unlikely given the phrase “without seeking approval.” The action does not depend on Central support.3) III is a reasonable assumption: the purpose of an octroi hike is revenue; if no revenue gain is expected, the step lacks fiscal motivation.4) The correct implicit set is I and III. Since that combination is not provided, the best choice is “None of these.”

Verification / Alternative check:
Public finance measures usually assume implementability and fiscal yield.

Why Other Options Are Wrong:

• Only I and II / Only II and III / All: Each includes II, which is not required.
• None is implicit: rejects obviously needed premises (I, III).

Common Pitfalls:
Do not force harmony between levels of government when “unilaterally” is explicit.

Final Answer:
Assumptions I and III are implicit; hence, among the choices, “None of these” is correct.