Virtual network peering enables you to seamlessly connect networks in Azure Virtual Network.
The virtual networks appear as one for connectivity purposes. The traffic between virtual machines uses the Microsoft backbone infrastructure.
Incorrect Answers:
B, C: Virtual Network (VNet) service endpoint provides secure and direct connectivity to Azure services over an optimized route over the Azure backbone network. Endpoints allow you to secure your critical Azure service resources to only your virtual networks. Service Endpoints enables private IP addresses in the VNet to reach the endpoint of an Azure service without needing a public IP address on the VNet.
Reference:
https://docs.microsoft.com/en-us/azure/virtual-network/virtual-network-service-endpoints-overview
https://docs.microsoft.com/en-us/azure/virtual-network/virtual-network-peering-overview