Question 1: Which of the following is the most appropriate option to…

Directions : In the following passage, some of the words have been left out and replaced with blanks represented by numbers. First, read the passage and try to understand what it is about. Then fill in the blanks as per the questions given.Finance Minister (1) _______ (reckons) that revenues will not be hit by the rate cut. The (2)_______ (modified) assumption is that higher sales volumes will compensate the exchequer. Experts expect a 45% reduction in home prices, but the decision to deny input tax credits to builders could bring a (3)_______ (rotation) in the tale. Developers may be forced to raise base prices as critical inputs, particularly cement (taxed at 28%), (4)_______ (lacks) high levies that can no longer be offset. Buyers may still prefer to opt for unsold completed properties that don’t attract GST, instead of incomplete projects. Compliance as well as material costs could go up too, as the Council is likely to mandate that around 80% of a project’s inputs must come from formal sector vendors in the GST net. It is difficult to determine to what (5)_______ (extinct) a proposed tax exemption on development rights will offset these costs for developers. Whatever the outcome of this pre-election ploy, the frequent structural tinkering ahead of electoral battles has emerged as the biggest challenge to the stabilisation of India’s (6) _______ (flagging) GST regime.