The "author-page citation" is more commonly called a Parenthetical Citation. Parenthetical Citations use parentheses, ( ), to include the author's name and page number at the end of a sentence.
So, your answer should be the first option; The author's last name and page number(s) must appear within the text and after the direct or indirect quotation.
The first 1 option, and the 2 option one are the only ones. Hope this helps.
It'd be smartest to do A first, and from there you can manage your time and answer the questions that won't take long at the end. if it's a reading test, you can look for keywords while skimming if you look at the questions first. All of the answer choices are good, but A is the best.
The first one is the answer