Step 1: Analyzing Statement 1.
Statement 1 tells us that the total capacity of the tank is 120 gallons, but it does not provide the rate of the pump or the leak, making it insufficient to solve the problem.
Step 2: Analyzing Statement 2.
Statement 2 gives us the time taken by the inlet pipe and the leak separately, but we still need the leak and pump rates to calculate the total time. Therefore, statement 2 alone is insufficient.
Step 3: Combining the statements.
When combining both statements, we now know that the tank's total capacity is 120 gallons, the rate of the inlet pipe, and the rate of the leak. By solving the system of equations, we can calculate the time required to fill the tank. Hence, both statements are together sufficient to answer the question.
Step 4: Conclusion.
The correct answer is (C).