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How many people are directors of both Company K and Company R ?

(1) There were 17 directors present at a joint meeting of the directors of Company K and Company R, and no directors were absent. Together Company K and Company R have 17 directors (total #). Not sufficient to say how many people out of those 17 are directors of both.

(2) Company K has 12 directors and Company R has 8 directors. We know how many directors has each company, but it's still not sufficient to to say how many are directors of both.

(1)+(2) Company K has 12 directors and Company R has 8 directors, which adds up to 12+8=20, since we know that there are total of 17 directors then 20-17=3 people must be directors of both Company K and Company R. Sufficient.

(1) says that "there were 17 directors present at a joint meeting of the directors of Company K and Company R", so each out of 17 people was either director of K or R (or both) and no one who wasn't director of either of the companies was present at the meeting.
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