Topic: Dangling Modifer,

Best Answer Explained in Below-:

The question "How much she __ (owe) you now?" requires a structure that properly inverts the subject and the auxiliary verb to form an interrogative sentence. The correct answer among the options provided is C) "does she owe."

In English, when forming a question in the simple present tense, we use the auxiliary verb "does" for third-person singular subjects (like "she"). Thus, the structure becomes "does she owe," where "owe" remains in its base form. This adheres to standard English grammar rules that dictate that in questions, the subject comes after the auxiliary verb.

Option A, "owes," is incorrect because it does not involve the auxiliary verb needed for a question. Option B, "is owing," uses the present continuous tense, which does not fit the context of asking about a current obligation or debt in a general sense. Finally, option D, "owed," is in the past tense, which does not apply to the present inquiry about how much is currently owed. Hence, "does she owe" is the grammatically correct choice to properly pose the question.