Here's why:
* Indicative mood is used to state a fact or make a statement. In this sentence, the sentence is stating a fact about the shack's appearance.
* Subjunctive mood is used to express a wish, doubt, or possibility. While the sentence implies a possibility (the shack collapsing), the verb "looked" itself is simply describing the shack's appearance, not expressing a wish or doubt.
* Imperative mood is used to give a command or make a request. This is not applicable in the sentence.
Therefore, "looked" is in the indicative mood because it is stating a fact about the shack's appearance.