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Statements: I. The Government has imported large quantities of sugar as per trade agreement with other countries. II. The prices of sugar in the domestic market have fallen sharply in the recent months.

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Statements: I. The Government has imported large quantities of sugar as per trade agreement with other countries. II. The prices of sugar in the domestic market have fallen sharply in the recent months. Answer: Statement I is the cause and statement II is its effect

The increase in supply always triggers a reduction in the prices.

Question context

This question is part of 🧩 Logical Reasoning within the broader 🧠 Aptitude Mastery subject and appears in the DemoPaper-Pakistan preparation collection. Reviewing the answer together with nearby questions helps reinforce the underlying concept and identify how it may appear in competitive exams.