Crumbling concrete flooring under carpet - General Inspection

I inspected an apartment. It’s on the second floor. The concrete flooring under the carpet is crumbling significantly, to the point where the cracks and voids can be felt when walking on the carpet laid on top of it. I considered it a problem, as did my partner (who has 25 years in the home construction business). However, the city inspector doesn’t consider it problem. Frankly, I am wondering who is right. Thanks, Steven H.

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