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Choose the correct auxiliary verb from the given options-
The cost of living ______ increased a lot.
(a)Has
(b)Is
(c)Am
(d)Were

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Answer
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Hint: Read the given sentence carefully and try to understand its meaning. Check the tense of the given sentence and then go through the options, and choose the one which agrees with the tense of the sentence and also expresses its meaning the best.

Complete answer: In the given question, we have to fill in the given blank with the correct auxiliary verb. An auxiliary is a verb used in forming the tenses, moods, and voices of other verbs. The primary auxiliary verbs in English are; be, do, and have; the modal auxiliaries are can, could, may, might, must, shall, should, will, and would. The word 'cost' is a singular subject and hence we need a singular form of the auxiliary verb. 'Increased' indicates that the sentence can be in simple past, past perfect or present perfect tense.

Now, let us examine all the given options to find out the correct option :
Option ‘a’ is Has. ‘Have’ and ‘has’ indicate possession in the present tense (describing events that are currently happening). It indicates the subject’s state of being in the present perfect or present tense. Hence, we can use ‘has’ here.
Option ‘b’ is Is. It is the present tense third-person singular of be. Dialectal present tense first-person and third-person singular of be. Dialectal present tense plural of be.
Option ‘c' is Am. It is an auxiliary verb just like have, will, was are auxiliary verbs. Their task is to “help” other verbs.
Option ‘d’ is Were. It is a second person singular past, plural past, and past subjunctive of be.
Hence, the option ‘a’ is the correct option.

Note: Be is used with other verbs to form continuous tenses and the passive voice. eg: She is reading a magazine; We were talking to them for ages. Do is used (i)for emphasis. eg: He did look tired. (ii) to make questions. eg: Do you want a coffee? (iii)to form negative statements or questions. eg: I don’t like meat.