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# Federal incentives now encourage investing capital in

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Senior Manager
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Federal incentives now encourage investing capital in [#permalink]

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17 Nov 2010, 13:43
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45% (medium)

Question Stats:

60% (02:06) correct 40% (01:21) wrong based on 101 sessions

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Federal incentives now encourage investing capital in commercial office buildings despite vacancy rates in existing structures that are exceptionally high and no demand for new construction.
(A) investing capital in commercial office buildings despite vacancy rates in existing structures that are exceptionally high and
(B) capital investment in commercial office buildings, even though vacancy rates in existing structures are exceptionally high and there is
(C) capital to be invested in commercial office buildings even though there are exceptionally high vacancy rates in existing structures with
(D) investing capital in commercial office buildings even though the vacancy rates are exceptionally high in existing structures with
(E) capital investment in commercial office buildings despite vacancy rates in existing structures that are exceptionally high, and although there is

Please could some one explain this SC ..Thanks
[Reveal] Spoiler: OA

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Re: Need help with this SC ! [#permalink]

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17 Nov 2010, 20:16
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ajit257,

I don't want to give away the reasoning here because I think it's more valuable if you give it a try on your own and then ask others to help you check your thinking. That said, I'll point you in the right direction:

When I look at SC, I immediately scan vertically to see what I'll have to decide. Here, some of those splits include:

-investing capital vs. capital investing
-despite vs. even though
-there is vs. with

If I'm considering these splits, I know that the most black and white grammatical rule relates to the use of "there is" or "with."

I'll be notified as soon as you reply to this. Let me know where you take this problem and then I'll be back to help out as necessary.

Good luck!

Brett
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Re: Need help with this SC ! [#permalink]

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18 Nov 2010, 06:37
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How do you go about in a complex situation such as this. Forget for while the investing capital or the capital investment part of it and let us try out other means.

It may be seen that logically vacancy rates in - existing structures - can not lie side by side with new constructions. Such expressions are oxymorons, which are incongruous in nature. May be this is not pure grammar but logic. So C and D are out.

Among the rest of A and B and E, to make life simple, A and E have modification problems. In A and E, the phrase - that are exceptionally high – seems to modify existing structures rather than vacancy rates. B is the only one with proper modifictaion and logic.

Now on to whether capital investment or investing capital: Normally encourage entails a noun such as person or action or an animal or even a gerund. By that score, we may prefer - encourage capital investment to investing capital, unless one seeks to argue that investing also is a kind of gerund. Investing being a transitive verb will need - investing of – to be a gerund
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Re: Need help with this SC ! [#permalink]

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18 Nov 2010, 19:27
As Brett and daagh have pointed out, the key here is to see what 'that' is modifying. The other point to note is the use and placement of 'with' in the sentence.
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Re: Need help with this SC ! [#permalink]

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23 Aug 2011, 12:23
After the split we have B and E but the first one is much better. +1 for B
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Re: Need help with this SC ! [#permalink]

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23 Aug 2011, 12:41
Federal incentives now encourage investing capital in commercial office buildings despite vacancy rates in existing structures that are exceptionally high and no demand for new construction.
(A) investing capital in commercial office buildings despite vacancy rates in existing structures that are exceptionally high and
(B) capital investment in commercial office buildings, even though vacancy rates in existing structures are exceptionally high and there is
(C) capital to be invested in commercial office buildings even though there are exceptionally high vacancy rates in existing structures with
(D) investing capital in commercial office buildings even though the vacancy rates are exceptionally high in existing structures with
(E) capital investment in commercial office buildings despite vacancy rates in existing structures that are exceptionally high, and although there is
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Re: Federal incentives now encourage investing capital in [#permalink]

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21 Feb 2016, 22:33
Hello from the GMAT Club VerbalBot!

Thanks to another GMAT Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

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Federal incentives now encourage investing capital in [#permalink]

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02 Mar 2017, 01:58
Would be a lot easier to answer this question in time, if you could modify the question like this
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Federal incentives now encourage investing capital in [#permalink]

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02 Mar 2017, 18:53
Federal incentives now encourage investing capital in commercial office buildings despite vacancy rates in existing structures that are exceptionally high and no demand for new construction.
(A) investing capital in commercial office buildings despite vacancy rates in existing structures that are exceptionally high and (Vacancy rates are exceptionally high not existing structure)
(B) capital investment in commercial office buildings, even though vacancy rates in existing structures are exceptionally high and there is (Correct)
(C) capital to be invested in commercial office buildings even though there are exceptionally high vacancy rates in existing structures with (It seems that existing structures having no demand for new construction. It changes the meaning)
(D) investing capital in commercial office buildings even though the vacancy rates are exceptionally high in existing structures with (Same as C)
(E) capital investment in commercial office buildings despite vacancy rates in existing structures that are exceptionally high, and although there is (Same as A)

Kudos please if you like my explanation
Federal incentives now encourage investing capital in   [#permalink] 02 Mar 2017, 18:53
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