In the question below is given a statement followed by two courses of action numbered I and II. You have to assume everything in the statement to be true and on the basis of the information given in the statement, decide which of the suggested course of action logically follow(s) for pursuing. Statement: XYZ Ltd, a footwear company, has been rejected a term loan by ABC Bank as the bank required additional guarantee. Courses of Action: I. XYZ Ltd should furnish additional guarantee to ABC Bank. II. XYZ Ltd should apply for the loan in some other bank which does not require an additional guarantee. Correct Answer Either I or II follows Clearly, since ABC Bank requires the additional guarantee, XYZ Ltd is left with two options 1. They should furnish the required guarantee to ABC Bank (Course of Action I) OR 2. They should look for some other bank which does not require the additional guarantee and apply there (Course of Action II) Hence, Either I or II follows.