To answer why C is correct. In the original sentence. most of us have spotted the major error "the modifier" issue.
Answers C and E, correc them. Now to find why C is wrong. read the below sentence, you will see the difference..
1. I won a scholorship to study MBA in London Business School.
2. I won a scholarship for studying MBA in London Business School
(hope this comes true
..coming to the point). Did u spot the error?. Do u see that the second one is not idiomatic. Well, thats the catch.
3. She won the scholarship TO STUDY.../ She won the scholarship for studying ..
I hope this helped.
Giving another SHOT