First of all, I must admit, its a good quest, and may take more than 2 mins.
Anyhow, here's the explanation:
With Q stem we dont know abt the signs of a,b, x, y.
We know this much but that a and b have to be of same sign, either +ve or -ve, if (-a,b) and (-b,a) have to be in same quad.
Stmt I:
xy>0
Doesn't tell us anything more than both x and y are of same sign.
So, if both positive: (-x,y) is in II quad.
If both negative, (-x,y) is in IV quad.
Lets c about a & b.
If both a & b +ve, II quad.
If both a & b -ve, IV quad.
But the missing link is how we be sure when both x,y are +ve, a & b are also +ve, and similarly for -ve.
Not sufficient.
Stmt II:
ax>0
Either both a & x are +ve, or both are -ve.
No help either
Let's combine both.
So, if ax>0, either both are +ve or both -ve.
In case when both are +ve.
then b & y are also positive.
So, (-a,b),(-b,a) and (-x,y) lie in same quad i.e II quad.
If both a & x are -ve, then b and y are also -ve.
So, (-a,b),(-b,a) and (-x,y) still lie in same quad i.e IV quad.
Hence combining both answers the ques.
Hence, C
Phew..
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