The shaded region is the part common to all three sets X, Y, Z (the triple overlap).
That means the region represents:
X ∙ Y ∙ Z
Now check options:
Option (2):
Z.(X + Y) = ZX + ZY
This includes regions where Z overlaps with X OR Z overlaps with Y — this is larger than triple intersection → NOT correct.
Option (3):
(Z.X′) + Y
This includes all of Y plus some part of Z, totally incorrect.
Option (1):
Z′ + (X.Y)
This includes all outside Z plus XY, wrong.
Option (4):
Z′.(X + Y)
This is the region outside Z but inside X or Y, wrong.