Option B is correct because the policy allows kinesis:PutRecord and kinesis:PutRecords, but the resource ARN is missing the stream name in the correct format. The ARN should be arn:aws:kinesis:us-east-1:123456789012:stream/input-stream, which is correct. However, the error might be due to missing permissions for the stream.
Actually, the policy looks correct. The most likely issue is that the Lambda execution role does not have the kinesis:PutRecords permission. The exhibit allows it, but maybe the role is different.
The correct answer is C: Add the kinesis:PutRecords permission, but it's already there. Wait, the error is AccessDeniedException, so the IAM policy is missing the action. The policy includes kinesis:PutRecords, so the error might be due to resource constraints.
The correct answer might be D: Change the resource to a wildcard. But the resource is specific. I think the issue is that the stream name is wrong.
But the question says "Refer to the exhibit." and the policy seems to allow PutRecords. Perhaps the Lambda function is trying to write to a different stream. The most straightforward answer is that the Lambda execution role does not have the kinesis:PutRecords permission.
But the exhibit shows it does. Hmm. Let me re-read.
The policy allows kinesis:PutRecord and kinesis:PutRecords. The resource is a specific stream ARN. If the Lambda is using a different stream, it would fail.
So the fix is to update the resource ARN to match the stream. Option B: Add the kinesis:PutRecords permission to the policy (but it's already there). Option D: Change the resource to a wildcard.
That would be a common fix. I'll go with D.