Answer:
In this sentence, the word compensates means D. makes adjustments.
Step-by-step explanation:
The word "compensate" has more than one meaning. It is commonly associated with giving someone something (usually money) to make up for some type of loss or suffering. It also means, however, to make adjustments or to reduce the effects of an action.
To choose the best option, we need to take the context into consideration. The osprey is a type of bird that catches fish. As we know, there is optical distortion when we look at an object that is underwater. According to the sentence, the osprey compensates for such distortion, meaning the bird is able make adjustments in order to catch the fish. That way, even if the fish appears to be at one place, the bird is capable to know where it truly is and dive precisely. Therefore, the best option is letter D. makes adjustments.