The answer depends on which phase model you use.

• 4-phase model (hemostasis → inflammation → proliferation → remodeling): the 2nd phase is inflammation, with chemotaxis of neutrophils, macrophages and lymphocytes. This gives D, the bank key.
• 3-phase model (inflammatory, which includes clot and hemostasis → proliferative → remodeling): the 2nd phase is proliferation, where granulation tissue and angiogenesis occur. This gives C.

Coagulation is phase 1 in both models, and scar formation is remodeling.