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Question

Consider the following statement and choose the option that follows.

Statement: The interest rates on fixed deposits have been lowered.
Inferences:
I. Investors may shift to alternative investment options.
II. Fixed deposits are no longer considered safe.

This question was previously asked in
SSC CGL 2025 Tier 2 Paper 1 Question Paper (19-Jan-2026)
The correct answer is
Only I follows

Statement Analysis

The given statement is: "The interest rates on fixed deposits have been lowered." This indicates a decrease in the returns offered by fixed deposits.

Inference Analysis

  • Inference I: Investors may shift to alternative investment options.

    When interest rates on fixed deposits fall, the returns become less attractive compared to other potential investments. This situation logically prompts investors to explore alternative avenues like stocks, mutual funds, or other debt instruments that might offer better yields. Therefore, this inference logically follows.

  • Inference II: Fixed deposits are no longer considered safe.

    A reduction in interest rates affects the *return* on investment, not the fundamental *safety* of the principal amount invested in fixed deposits. Fixed deposits are generally considered low-risk investments regardless of interest rate fluctuations. Lower rates do not inherently make them unsafe. Therefore, this inference does not logically follow from the statement.

Conclusion

Based on the analysis, only the first inference (I) is a logical consequence of the decrease in fixed deposit interest rates. Investors are likely to seek higher returns elsewhere.

The correct option is the one stating that only Inference I follows.

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Similar Questions

  1. Consider the following statement and choose the option that follows.

    Statement: The company has decided to switch to renewable energy sources for its operations.

    Inferences:
    I. The company aims to reduce its carbon footprint.
    II. The company's current energy sources are expensive.
  2. In the following question, one statement is given followed by certain inferences. Consider the statement to be true even if it seems to contradict commonly known facts. Read the inferences carefully and decide which of them logically follow(s) from the given statement:

    Statement:

    Humans cannot match the data processing speed of supercomputers, which perform billions of calculations per second.

    Inferences:

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    II. Humans and supercomputers differ in their capabilities.


Important Questions from Statements and Inferences

  1. Statement: The headquarters of many e-commerce companies like Amazon is located in Seattle. .

    select the appropriate option from the following options

    A - statement is definitely true.

    B - The statement is probably true.

    C - statement can not be determined.

    D - statement is definitely false.

  2. Statement: Data Breach (Data Privacy Rule Violation) has left only a few Taxes have not exposed the usernames and email IDs of all Amazon users.

    Select one of the following options, the appropriate option.

    A - statement is definitely true.

    B - The statement is probably true.

    C - statement can not be determined.

    D - statement is definitely false.

  3. Which of the following statements about “C-Bot” is/are correct?

    1. It’s an underwater vehicle to monitor coral reefs

    2. It has been developed by CSIR and NIO

  4. Which one of the following statements about “REJUVE” is correct?

  5. Read the given statement and inferences carefully. Assuming that the information given in the statements is true, even if it appears to be at variance with commonly known facts, decide which of the given inferences can be derived from the statement.

    (An inference is something which is not directly stated but can be derived from the given facts/information in the statement.)

    Statement :

    All mammals are warm - blooded animals.

    Inferences :

    I. Dogs are warm - blooded animals.

    II. All warm - blooded creatures are mammals.

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