"Who occupied Jakarta two centuries ago?"
Translation:Siapa yang menduduki Jakarta dua abad yang lalu?
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I guess the course developers referred to the Dutch colony and chose "menduduki". "Menempati" is sometimes translated as "to inhabit", so replacing "menduduki" with "menempati" makes the sentence vague -- "Who settled down in Jakarta two centuries ago?" with no nuance of political superpower.
I actually threw the same question on HiNative, but I couldn't get good answers... So, I looked up the two words in the University of Leipzig Indonesian Corpus in order to find example sentences used in the real world.
I found there that "menempati" is frequently used in the context of 1) to assume a job position/role/responsibility; 2) to rank a certain position (of market share, sports, or political agenda priority etc); or 3) to be physically located in an area.
Whereas "menduduki" is used 1) dominate profitable interests (like the colonization); 2) rank; or 3) to be physically located (i.e. as a synonym of "menempati").