Final answer:
Peasants entering into the feudal contract had to weigh the loss of freedom against the benefits of protection and land. This relationship between lords and peasants was based on service in exchange for security, characterizing the medieval feudal system.
Step-by-step explanation:
The question at hand involves assessing the costs and benefits that peasants had to consider before entering into the feudal contract during the medieval period. The most plausible option is 'a. Costs: Loss of freedom, Benefits: Protection and land,' given the structure of the feudal system. In this system, peasants were often required to provide various forms of service and labor to their feudal lords, which could be seen as a loss of freedom. However, they received the benefits of protection from external threats and a place to live via the land granted to them. The feudal system was largely based on these reciprocal obligations, where lords offered land and protection in exchange for service.
Moreover, over time, particularly following events such as the Black Death, peasants' living conditions improved due to increased bargaining power resulting from labor shortages. This gradual change eventually contributed to the decline of feudalism, as peasants sought better opportunities, contributing to the rise in wages and improved living conditions. Nonetheless, during the height of feudalism, entering into a feudal contract entailed sacrifices in personal autonomy but provided essential security and resources necessary for survival.