Discussion
Statement: Tender specification will not be issued to the firms where there is 25% or more default in supplies against earlier purchase orders placed on them' - Condition of a Company X inviting tenders for the purchase of material.
Assumptions:
1. The Company X will be watching the quality of performance of its suppliers.
2. This time the firms should keep the percentage of default as less as possible.
3. The Company X expects quality and professional approach from its suppliers.
Answer: E
Since Company X intends to invite tenders only from those companies which have not been defaulters earlier, so both I and III are implicit. Besides, to have long term business relations with Company X, every firm needs to perform well in its supplies. So, II is also implicit.
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