Direct object is the function of the noun clause in this sentence. Hence, option D is correct.
The noun phrase in this sentence serves an appositive purpose. When a noun or word is followed by another noun or phrase that renames or identifies it, this is known as an apposititive. The noun clause "that she read the assignment" in this instance renames the NP subject Kam's decision. Actually, the entire NP "Kam's option, that she read the assignment" serves as the sentence's subject.
As I've already mentioned, the NP "Kam's choice, that she read the assignment" serves as the sentence's subject. The personal pronoun "her" is the direct object, while the PP "for the test" is the I. O
Thus, option D is correct.
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The options are missing in the question -
A.subject
B.appositive
C.indirect object
D.direct object
