Discussion
By the end of the next fiscal year, our company __________ its operations to three new countries.
Answer: C
The correct form is will have expanded.
By the end of the next fiscal year sets a deadline in the future, and the expansion is to be complete before it. An action finished before a point in the future takes the future perfect: will have + past participle.
Will expand states a future action but not its completion by the deadline. Will be expanding is future continuous and describes the process as ongoing at that time. Expands is simple present and does not fit a completed future action with by.
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