Final answer:
The correct option for comma placement is number 4, with no comma after 'at' and commas after the street address and city name.
Step-by-step explanation:
The correct placement of commas in the sentence "The famous Grauman's Chinese Theatre is located at 6925 Hollywood Blvd, Hollywood, CA" is option 4. It should be written without a comma after 'at' and a comma should be placed only after the street address and the city name.
It is important to note that while listing elements within a sentence, such as in an address or a series, commas are typically used to separate the elements. This includes the use of commas with numbers, dates, titles with names, and addresses. Additionally, the serial comma or Oxford comma is not used in addresses, aligning with AP Stylebook guidelines.