Statement: In view of the recent spurt in sugar prices in the open market, the government has asked the dealers to release a vast quantity of imported sugar in the open market.
Assumptions:
1. The dealers will follow the government directive.
2. The sugar prices will come down.
3. The price of indigenous sugar will remain unchanged.
Answer: A
The government's decision is clearly a measure to increase supply and control rates. So, both I and II are implicit, while III is not.