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Read the two statements and decide how they are related. Statement I: A leading smartphone manufacturer cut the price of its flagship model by 20 per cent at the start of last month. Statement II: Sales of that smartphone model rose sharply during the weeks that followed.

Competition practiceLogical / Critical
  • AStatement II is the cause and Statement I is its effect
  • BBoth statements are effects of a common cause
  • CStatement I is the cause and Statement II is its effect
  • DBoth statements are independent causes

Step-by-Step Solution

The price cut came first and the rise in sales followed it, which is the expected response of buyers to a cheaper product. Sales that had not yet happened could not have produced the earlier price cut, so I is the cause and II the effect.
Answer: C) Statement I is the cause and Statement II is its effect

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