Step 1: Convert TABLE and its code GZYOV into alphabet position numbers: T=20, A=1, B=2, L=12, E=5 and G=7, Z=26, Y=25, O=15, V=22.
Step 2: Check whether each pair adds up to a constant: $20+7=27$, $1+26=27$, $2+25=27$, $12+15=27$, $5+22=27$. Every pair sums to 27, so the coding rule is: code value $= 27 - $ original value.
Step 3: Apply this formula to CHAIR: C=3 gives $27-3=24=X$; H=8 gives $27-8=19=S$; A=1 gives $27-1=26=Z$; I=9 gives $27-9=18=R$; R=18 gives $27-18=9=I$.
Step 4: Reading the results in order gives X, S, Z, R, I, i.e. XSZRI.
Step 5: The remaining options each place at least one letter incorrectly under the $27-n$ rule, so they are ruled out.
Correct option: XSZRI