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The two oil companies agreed to merge their refining and marketing operations in the Midwest and the West, forming a new company for controlling nearly fifteen of the nation’s gasoline sales. A. forming a new company for controlling B. forming a new company that would control C. which would form a new company that controlled D. which formed a new company for controlling E. which formed a new company that would control
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Because letter B seems that the new company will not be able to control anymore
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I'm not sure what that means but B is the answer because "would control" is in the subjunctive tense. If you have MGMAT SC guide, read up on the subjunctive, or google it online. It's quite common on the MGMAT.
My doubt is: "would" does not mean something in the future that will not happen any more because something happened earlier?
Because letter B seems that the new company will not be able to control anymore
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"would" is here used as past-tense of "will", that means when the sentence was written, the "control" was relatively in future tense.
E.g. Dave said "I will never go to school". OR Dave said that he would never go to school
The answer B "forming a new company that would control" is absolutely correct. Here "forming" and "agreed to merge" happened at the same time. Hence present participle form "forming" has been used. But "controlling" will happen sometime later (which might be future to that time), hence "that would control".
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