Answer: B)Tell the editor-in-chief about her relationship to the pilot, and ask that the story be assigned to another reporter.
Explanation: I found the picture that is missing in your question and the answer but I couldn't explain it because I can't see the rest of the question in this picture that is connected to the answer.
Rising action uses tension to build the conflict in the narrative until the tension explodes/breaks and releases in the climax.
The answer is the first option or A.
The setting is usually stated early on, giving a feel for what the story looks like, and where the characters are.