Choose the option that correctly replaces the underlined expression: 'Chike inferred from the report that the project had failed.'

'Inferred' means to draw a conclusion from evidence or reasoning, and 'deduced' is its closest synonym in this context, both meaning to arrive at a conclusion through logical reasoning. 'Implied' means to hint or suggest something without stating it directly, which is the opposite action. 'Hinted' and 'suggested' relate to what a speaker communicates, not what a reader concludes.