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Statement Banks should always check financial status before lending money to a client, Assumptions I. Checking before lending would give a true picture the client's financial status. II. Clients sometimes may not present the correct picture of their ability to repay loan amount to the bank.

if only Assumption I is implicit
if only Assumption II is implicit
if either Assumption I or II is implit
if neither Assumption I nor II is implicit

Correct Answer: if only Assumption I is implicit

Explanation:

Assumption I is implicit in the norm prescribed in the statement. This is the the reason why checking is being advised. However, II vague. If cross checking is what the speaker has in mind, II would become implicit.

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