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Correct answer: It can change sinusoidally with time
A time-varying flux is not required to increase monotonically; it can vary in any way, including sinusoidally (as in an AC generator). The induced emf is proportional to -d(phi)/dt; when phi = phi0*sin(omega*t) the induced quantity peaks where the flux is zero (max slope), which is the opposite of option 3's general claim. So the only correct general statement is that the flux can change sinusoidally.