EASIEST EXPLANATION
Whenever you see exists or exists check for the emptiness of the subquery
1.EXISTS returns true if the subquery is not empty
2.NOT EXISTS returns true if the subquery is empty
Now see here here its a correlated subquery not just a subquery .
So for every Student Tuple check the inner subquery .
For example take the first tuple for the STUDENT relation i.e [S01,JAMES,D01] WHERE NOT EXISTS((C11,C12) EXCEPT(C11 C12)).hence here the correlated subquery is empty so the tuple(S01,JAMES,D01) comes in the output .Similarly if you do you could get (S04,JANE,D01) in the Output.
HENCE THE ANSWER WILL BE 2