The correct answer is lives
Tom says that a preposition shows position. Ann says that a preposition shows the logical relationship between ideas. Here D. Both Tom and Ann are correct.
Prepositions are used to express the relationship between two or more places, persons or time or express a relationship in time or space.
The Last Time I met him was opposite the cinema. - place
Reena was walking down the street. - place
I love eating ice-creams during summers. - time
Answer: B
Explanation: The colon is not correct, because what follows isn't a list. It should be written with a comma, like this: "Although she wanted to be in the play, she lacked self-confidence, so she didn't think she would get the part."