D. The wrong gateway
Explanation:
Given the subnet mask of 255.255.255.224, the subnet range for the VM's IP address (172.16.31.38) would be 172.16.31.32 to 172.16.31.63, with 172.16.31.33 as the first usable address and 172.16.31.62 as the broadcast address. The default gateway for this subnet should be within this range, but typically, it would be one of the first or last usable addresses in the range, like 172.16.31.33 or 172.16.31.62.
The provided gateway, 172.16.31.254, does not fall within the 172.16.31.32/27 subnet range, which is why the VM cannot access the Internet or other subnets.
To resolve the issue, the correct gateway should be set to an address within the VM's subnet range. For example, if the standard practice in the network is to use the first usable address as the gateway, the gateway should be set to 172.16.31.33. If the last usable address is used, it should be 172.16.31.62.