The exit velocity of water is B. 15 m/s.
According to equation of continuity, for a steady flow of water, the volume of liquid entering a pipe in 1 second is equal to the volume that leaves per second.
If the initial exit area of the pipe is A₁ and the speed of exit is v₁ and the final exit area is A₂ and its corresponding exit velocity is v₂, then,

Rewrite the expression for v₂.

Substitute 10 cm² for A₁, 2 cm² for A₂ and 3 m/s for v₁.

The exit speed of water from the hose is 15 m/s.