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I ruled out C,D,& E based on the same reasons mentioned above.

Between A & B - A can be ruled out because it is not mentioned that legislations are the reason, as noted above! But I missed that & chose A. On reviewing, I agree that B makes most sense.

But my question here is whether we can make the assumptions that legislation involves funds disbursement.....I guess it could?

Well, A says that he will be a voting member, so he can somehow limit those legislations.
But the passage new legislations=>funds disbursement=> fraud, requires an assumption (as you correctly say, but it may occur or not).
On the other hand the logic funds disbursement => fraud is more straightforward, and requires no assumption.

Hope this makes sense :)
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Objective: weaken the conclusion
Conclusion: curb corruption by adding a sixth elected position to the city council

A. The council manager, though a voting member of the council, would not be allowed to introduce new legislation. - not related to corruption.
B. The council manager would have no control over other board members’ decisions about funds disbursement. - If the newly elected official has no control over other board members' decisions about funds disbursement, then it is likely that the mismanagement of funds would continue. Therefore, (B) weakens the conclusion cited. Hence, (B) is the right answer choice.
C. Each council member represents over 15,000 constituents and would not have time to talk with all of them. - irrelevant to the conclusion.
D. The council manager is required to have a background in either accounting or business administration. - irrelevant to the conclusion
E. The city council must cooperate with the county government, which is also made up of elected officials. - irrelevant to the conclusion
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