I think B is correct as you are configuring the provider not declaring it terraform { required_providers { aws = { source = "hashicorp/aws" version = "~> 4.0" } } } # Configure the AWS Provider provider "aws" { region = "us-east-1" }

B is correct https://www.terraform.io/language/providers/configuration

*CREATING* then it should be C as you need the root terraform block

The question seems to hinge on the word "needs" ... if it was asking for "required_providers" then they would need to nested inside a terraform block however none of the examples show the correct syntax for a required_providers block terraform { required_providers { mycloud = { source = "mycorp/mycloud" version = "~> 1.0" } } } I'm going with B.

Question says "you are creating" your configuration, not configuring. It should be C

https://developer.hashicorp.com/terraform/language/providers/requirements