"None of the students taking literature are taking physics."
So: if you are student taking literature, then you are not taking physics.
P1: TL ==> not TP TP ==> not TL
"but several of the students taking physics are taking art."
So: some of the students taking physics are also taking art.
Q1: TP-some-TA TA-some-TP
"In addition, none of the students taking rhetoric are taking physics."
So: if you are a student taking rhetoric, then you are not taking physics.
P2: TR ==> not TP TP ==> not TR
Answer choice (A) states: "There are students who are taking art but not literature."
So: some students who are taking art are not taking literature.
(A): TA-some-not TL not TL-some-TA
Can we logically infer this from the statements above? Yes.
Remember we can combine a quantifier statement with a Sufficient & Necessary statement if the right-hand side variable of the quantifier statement is the same as the sufficient condition of the Sufficient & Necessary statement. We have that with P1 and Q1.
So, we can combine Q1 to P1 like so: TA-some-TP ==> not TL to infer: TA-some-not TL, which is answer choice (A).
Hope that clears things up! Please let us know if you have any other questions.