In each question below is given a statement followed by two courses of action numbered I and II. A course of action is a step or administrative decision to be taken for improvement, follow up or further action in regard to the problem, policy etc. On the basis of the information given in the statement, you have to assume everything in the statement to be true and then decide which of the suggested courses of action logically follows for pursuing. Given answer:
Statement: It is necessary to adopt suitable measures to prevent repetition of bad debts by learning from the past experiences of mounting non-performing assets of banks.
Course of Action:
I. Before granting loan to customers their eligibility for loan should be evaluated strictly.
II. To ensure the payment of installments of loan, the work, for which loan was granted, should be supervised minutely on regular basis.

Options

A. if only Course of action I follows.
B. if only Course of action II follows.
C. if either Course of action I or Course of action II follows.
D. if both courses of action I and II follow.

Answer

D

Explanation

Both follow as they are preventive actions and have direct impact.