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I don't like answer A because cacheable=true means the data is immutable, but the question states the method will update a list of contacts. This is in contradiction.
See: To set cacheable=true, a method must only get data. It can’t mutate data.
URL: https://developer.salesforce.com/docs/atlas.en-us.lightning.meta/lightning/controllers_server_apex_auraenabled_annotation.htm