To solve this, we need to visualize it.
A hint is dropped when they say,
a rectangular paper label of area 12 square units is pasted on the can as shown in the figure.The curved surface area of the can is also a rectangular area.
The area of a rectangular area = Height * Width.
Here, the label's width (which is the circumference of the can) is the same as the width of the cylinder.
We know the area of the label is 12 square units.
So all we need to know is a relation between the height of the can to the size (height) of the label.
Statement 1 The center of the paper label is at a distance of 5 units each from the top and the bottom of the canStatement 1 just tells us that height of the can is 10 units but it does not give a comparison of the label.
Insufficient and we eliminate options A and D.
Statement 2 The height of the can is five times the height of the paper label.Statement 2 gives us a comparison. So this is sufficient.
Sufficient and the answer is B.