Two Phase Locking protocol is conflict serializable. So this is a modified version of the basic $2PL$ protocol, So serializabilty should be guaranteed.. and we can get a serializable scheduling by ordering based on Lock points(same as in basic $2PL$
)..
Now in Step $1,$ exclusive locks are aquired to $O_1,O_2,O_3$.... in increasing order of addresses..since it is mentioned as exclusive lock, only one transaction can lock the object..
Due to acquiring of locks based on ordering of addresses.. and locks aren't released until the transaction completes its operation.. we can prevent the circular wait condition,
and hence making it deadlock free.
So, the answer should be (A) guarantees serializability and deadlock freedom