A. As a result
That signals a cause and effect text structure
Moderate. Moderate if the best choice because sophisticated means a high level of intelligence, but moderate is just an average person.
The correct answers are: B) the dystopian world that Gregor enters as an insect, and C) Gregor's sudden transformation into a giant insect.
A Kafkaesque situation is a nightmarish one, and also strongly surreal, so in that sense, the options that relate the most to said expression are the ones that have to do with dream-like things, like the dystopian world and Gregor becoming an insect.