This problem just cries out for case testing. If you work through a DS problem abstractly, you run the risk of making a mistake in your thinking - specifically, making a wrong assumption about what can and can't happen. Now, you can possibly avoid that by getting really good at making abstract leaps of reasoning. Easier said than done. But if you do good case testing, you actually become
immune to that type of mistake. That's huge.
Here's what it looks like (and try it yourself before reading further!)
1.
Case 1: x = 10, y = 9.5 - yes
Case 2: x = -10, y = -10.5 - no
NS
2.
Case 1: x = 10, y = 9.5 (reusing cases can speed you up, but it can also be confusing. If you find it confuses you, it isn't worth it.) - yes
Case 2: x = -10, y = -2 (but, you might notice that our original Case 2 no longer works... hmm.) - no
NS
1 + 2.
Case 1: x = 10, y = 9.5 (this is why it's good to reuse cases sometimes...) - yes
At this point, your
specific goal is to find a case that would give us a 'no' answer to the question. That will definitely involve some logical reasoning. Your thinking might go like this: 'the only possibility that might work is one where both x and y are negative. Can I find a case that fits both statements, where x and y are both negative? To fit statement 2, x would have to be more negative than y, like -2 and -1. But if x is more negative than y, then 2x - 2y will be negative! It can't come out to positive 1. So, it's actually impossible to construct an (x,y) pair that fits both statements, where x and y are negative. I'm stuck with just the positive case. That means that together, the statements are sufficient.'
I hadn't solved this problem before seeing your question, and the first time I tried it, I got overconfident and worked through it logically. I got the same answer as you (E) and started wondering if the official answer was wrong! I only worked it out when I tried testing cases. I have a 51 on the math section of the GMAT - so if that happens to me, it can happen to anyone. If that doesn't sell you on case testing, nothing will.