Answer: C
Attack at either carbon gives the same compound because the epoxide has C2 symmetry. The carbon attacked by azide is inverted, and its priority order (N or O > the other stereocentre > CHX3 > H) is unchanged, so its label changes from R to S. The carbon that keeps the oxygen is untouched and stays R. This gives the C-2 (OH) = R, C-3 (N3) = S product.