Question :
In the question given below, a passage is given followed by five statements one of which can be inferred from the passage.
The cost of purchasing crude iron from industry X is almost twenty percent more than the cost of purchasing crude iron from industry Z. It is cheaper to purchase crude iron from industry Z even after taxes and transportation fees are added and have them transported than to purchase crude iron directly from industry X. Both the industries source iron from a nearby mine.
Which of the following can be correctly inferred from the statements above?
1. Industry X inflates their prices to be more competitive than industry Z.
2. It takes less time for industry Z to mine crude iron.
3. The cost of transporting crude iron from industry Z is less than twenty percent of the cost of purchasing crude iron from industry X.
4. Labour costs at industry Z are less than the labour costs at industry X.
5. The taxes on crude iron from industry Z are more than twenty percent of the cost of purchasing crude iron from industry X.
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