Final answer:
Beethoven's "Moonlight Sonata" does not have a city setting as it is an instrumental piece; however, Beethoven composed it while living in Vienna, which is closely associated with him and his music.
Step-by-step explanation:
The statement "Beethoven's Moonlight Sonata takes place in the city of ____?" suggests that there is a specific city setting for the piece, which is not accurate. Ludvig van Beethoven's "Moonlight Sonata," properly known as Piano Sonata No. 14 in C♯ minor "Quasi una fantasia," Op. 27, No. 2, does not have an associated story or setting in which it 'takes place,' as it's a piece of music without lyrics or a prescribed narrative. However, Beethoven was a resident of Vienna, Austria, when he composed this sonata, so the city is closely associated with the composer during the period he created some of his most famous works.