The correct answer is: Only conclusion I follows.
The statement says that the government will review the present policy of the diesel price in view of further spurt in the international oil prices. This does not necessarily mean that the government will increase the price of the diesel. The government may also decide to keep the price unchanged or even reduce it. However, the statement does suggest that the government is considering the possibility of increasing the price of the diesel. Therefore, conclusion I follows. Conclusion II does not follow because the statement does not say anything about the government’s decision.
Here is a more detailed explanation of each option:
- Option A: Only conclusion I follows. This is the correct answer. As explained above, conclusion I follows from the statement, but conclusion II does not.
- Option B: Only conclusion II follows. This is incorrect. Conclusion II does not follow from the statement.
- Option C: Either I or II follows. This is incorrect. Only conclusion I follows from the statement.
- Option D: Neither I nor II follows. This is incorrect. Conclusion I follows from the statement.
- Option E: Both I and II follow. This is incorrect. Only conclusion I follows from the statement.