Answer: C
The carbon-magnesium bond is protonated (here deuterated) by D2O exactly where magnesium was bound, with no rearrangement. 2-Bromobutane gives 2-deuteriobutane, a chiral isotopologue formed as a racemate. Butane is formed if H2O is used, butan-2-ol requires oxygen, and 1-deuteriobutane would require a shift of the metal.