Hi healthjunkie,
This question is an off-shoot of a Triangle Inequality Theorem question - in those questions, you're given 2 of the sides of the triangle and you're asked for what the third side COULD be. The lengths of the 2 sides dictate the minimum and maximum possible values for the third side and that same logic can be used here.
To emphasize the logic, you should sketch out some quick pictures....
First, the greatest area will be formed when the two sides form a RIGHT angle. With sides of 8 and 12, you have an area of (1/2)(8)(12) = 48.
Next, draw a picture in which the "8 side" does NOT form a right angle with the "12 side"....put the "8 side" at an angle so that it's almost "on top of" the "12 side".... This area is clearly SMALLER than 48 (in fact, it's just a little greater than 0).
If you draw a picture with the "8 side" almost "in line, but going in the other direction" with the "12 side" (so that you form a really long, thin triangle), THAT area is also really small (just a little greater than 0).
These examples serve as proof that any area from "almost 0" up to 48, inclusive is possible. In this question, that means that 35 and 48 are possible areas.
GMAT assassins aren't born, they're made,
Rich