Correct option is B
Cause: Heavy rains yesterday in City X have caused flooding in many areas including the railway station and airport.
Effect I: Railways has announced a delay in the departure of three trains from City X this morning.
Possible – Flooded railway station can definitely cause train delays.
Effect II: Flights were unable to land in City X last evening.
Possible – Flooding at the airport could lead to flight disruptions.
Effect III: Finance ministry extended tax filing deadline by a month.
Not a direct effect – Tax deadlines are unrelated to local weather in one city. This is unlikely to be caused by rain in City X alone.
Correct Answer is (B) Both I and II are possible effects.
