Stop whining about "trick" questions! This one taught me to consider and be careful of automatic conversion of datatypes.
I got it right, but would have missed it if one of the choices were "0".
a = 120 = x'01111000'
b = 30 = x'00011110'
a & b = x'00011000' = 24
d = 40 = x'00101000'
(a&b)|d = x'00111000' = 56
Since the result is being put to a "BIT" datatype, I mistakenly thought that the binary representation of the integer 56, x'111000', would be truncated to the last bit which is zero.
But the conversion of any non-zero numeric to type BIT yeilds value '1', so that's the correct answer.