Answer- There are two reasons that we know quotations have been used first is the use of of name of the person who quoted it and secondly the quotation is written inside the quotation marks.
Explanation- Quotation is nothing but using a line that has been already quoted by someone somewhere. Such sentences are normally written inside quotation marks. In the above given paragraph the name of the person who quotes the sentence is also given hence we know that our quotation has been used.