C is correct.
Since BSR is enable on R2 therefore:
A BSR is elected among the candidate BSRs automatically; they use bootstrap messages to discover which BSR has the highest priority. This router then announces to all PIM routers in the PIM domain that it is the BSR.
https://www.cisco.com/c/en/us/td/docs/ios-xml/ios/ipmulti_pim/configuration/xe-16-5/imc-pim-xe-16-5-book/imc-basic-cfg.html#GUID-D1656247-AFA8-4F67-8114-FB290E579FDD
C is the way to go
BSR (Bootstrap) is similar to Cisco’s AutoRP, it’s a protocol that we use to automatically find the RP (Rendezvous Point) in our multicast network. BSR however, is a standard and included in PIMv2, unlike AutoRP which is a Cisco proprietary protocol.
BSR uses two roles:
Candidate BSR: this is the router that collects information from all available RPs in the network and advertises is throughout the network. It’s function is similar to the mapping agent in AutoRP.
Candidate RP: these are routers that are advertising themselves who want to become the RP.
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You Wrong. This config is abour BSR . See the config is about RP-Candidate and Candidate-BSR. You don't need ip pim autorp listener in this scenario, only if you use AUTO-RP
Just to clarify. Candidate RP Announcement Msgs are shared with the Mappings Agents via 224.0.1.39. Downstream routers will listen for the Discovery Msgs 224.0.1.40 from Mapping Agent, which R1 is not originating as R1 is only configured to be a Candidate RP.
It is acceptable to use the same interface address Candidate RP and Mapping Agent, but this is not the case here.
Yeap... 'C' is better.
PIM uses the BSR to discover and announce RP-set information for each group prefix to all the routers in a PIM domain. This is the same function performed by Auto-RP, but the BSR is part of the PIM Version 2 specification. The BSR mechanism interoperates with Auto-RP on Cisco routers.
To avoid a single point of failure, you can configure several candidate BSRs in a PIM domain. A BSR is elected among the candidate BSRs automatically; they use bootstrap messages to discover which BSR has the highest priority. This router then announces to all PIM routers in the PIM domain that it is the BSR.
https://www.cisco.com/c/en/us/td/docs/ios-xml/ios/ipmulti_pim/configuration/xe-16-5/imc-pim-xe-16-5-book/imc-basic-cfg.html#GUID-D1656247-AFA8-4F67-8114-FB290E579FDD
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