Step 1: Analyze each statement carefully.
(a) In the 18th century, people showed strong attraction towards romances and tragedies. Hence, the correct word is extreme.
Rewritten sentence:
18th century people had extreme interest in romances and tragedies.
(b) Pulp magazines generally publish stories meant purely for entertainment, often imaginative and unreal in nature. Hence, the correct word is Fantastic.
Rewritten sentence:
Fantastic fiction is for general entertainment in pulp magazines.
(c) A novel that narrates the adventurous life of a hero, usually in episodes, is called a Picaresque novel.
Rewritten sentence:
Picaresque novel narrates the adventures of the protagonist.
(d) The background, time, and place where a story happens is called the Setting.
Rewritten sentence:
Setting is the background in which the story takes place.