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In Bangladesh, the possibility of floods are regarded by most residents with a mixture of bravado and caution.

A. are regarded by most residents with
Incorrect.. possibility is singular.

B. is regarded by most residents with
regarded as is the correct idiom.

C. is regarded by most residents as
Correct SV agreement + idiom usage.

D. is mostly regarded by residents with
regarded as is the correct idiom.

E. by most residents is regarded with
Passive vs Active... idiom usage... Answer C is better.
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Hello from the GMAT Club VerbalBot!

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