The correct answer is: C. Either I or II is implicit
The statement says that there will be no budgetary provision for the purpose of appointing additional faculty. This implies that appointing faculty requires funds. It also implies that there are other areas which require more financial attention.
Assumption I is that appointing faculty requires funds. This is implicit in the statement, as the statement says that there will be no budgetary provision for the purpose of appointing additional faculty.
Assumption II is that there are other areas which require more financial attention. This is also implicit in the statement, as the statement says that there will be no budgetary provision for the purpose of appointing additional faculty. This implies that there are other areas which require more financial attention.
Therefore, either assumption I or assumption II is implicit in the statement.