In this question a few conclusions are drawn from two or more given statements. It is based on deductive reasoning rather than inductive reasoning. You have to consider the given statements to be true, even if they are different from established facts and accordingly choose the right answer.
Statements:
I) All ducks are rats
II) Some rats are hats
III) All hats are leaves

Conclusions:


I) Some leaves are ducks
II) Some hats are ducks
III) Some leaves are rats

Only III follow

From the given statements and the above diagram, it is clear that only III statement follows.