Home » Verbal Reasoning » Cause and Effect

Statements: The State Government has announced special tax package for the new industries to be set-up in the State. Last year the State Government had hiked the taxes for all industrial activities in the State.

Statement I is the cause and statement II is its effect.
Statement II is the cause and statement I is its effect.
Both the statements I and II are independent causes.
Both the statements I and II are effects of independent causes.
Both the statements I and II are effects of some common cause.

Correct Answer: Statement II is the cause and statement I is its effect.

Explanation:

Because due to hike of taxes last year the State Government has announced special tax package the new industries to be set up in the State.

← Previous Question Next Question→

More Questions from Cause and Effect

Statements: The government has allowed private airline companies in India to operate to overseas destinations. The national air carrier has increased its flights to overseas destinations.
Statements: The Government has imported large quantities of sugar as per trade agreement with other countries. The prices of sugar in the domestic market have fallen sharply in the recent months.
Statements: Many people in the area are reported to be suffering from Malaria. Private Medical Practitioners in the area have decided to close their clinics for few days.
Statements: Rural and semi-urban areas in the country have been suffering due to load-shedding for quite some time. If the Government is not able to overcome the power crisis, load-shedding will be extended even to the urban areas.
Statements: The Government has increased rates of petrol and diesel by 10% from the immediate effect. Oil producing countries have decided to increase 10% of production on crude oil from the last quarter.
Statements: The vegetable prices in the local market have increases manifold during the past few days. Incessant rains have created flood like situation in most rural parts of the State.
Statements: Police had resorted to lathi-charge to disperse the unruly mob from the civic headquarters. The civic administration has recently hiked the property tax of the residential buildings by about 30 percent.
Statements: The government has decided to give tax benefits for small savings for investments and benefit accruals. However, all withdrawals of such savings are to be taxed. People have been investing more in small savings than in equity market to avail maximum tax benefits.
Statements: There was a huge rush of people to the temple last Sunday the 15th of the month. The temple authority had decided to close down the temple for repairs from 17th of the month.
Statements: Large number of people living in the low lying areas has been evacuated during the last few days to safer places. The Government has rushed in relief supplies to the people living in the affected areas.

Discussion & Comments

No comments yet. Be the first to comment!

Join Discussion