An indulgence offered by the pope
was a forgiveness of earthly punishment for sins, but not of punishments in the afterlife
was the most severe punishment church authorities could inflict in the inquisition
was a position in a church offered in exchange for money
was a guarantee to a guild that they had the exclusive right to produce and sell a good

was a forgiveness of earthly punishment for sins, but not of punishments in the afterlife- this is not true, it was a forgiveness  of punishment both on earth and in the afterlife!

was the most severe punishment Church authorities could inflict in the inquisition - false, indulgence was something desired, not feared.

was a position in a church offered in exchange for money-false, it was not a position, but a forgiveness (thought it was offered for money)

was a guarantee to a guild that they had the exclusive right to produce-false again, this had nothing to do with it

So, for the reasons I mentioned, all the answered are wrong... The best answer is the first one, as it's the most relevant, but it's still factually wrong...