The answer is D.
Let x1,x2,……xn be the n observations.
Then, old mean ¯xold=∑ni=1xin.....(i)
Now, adding 5 in each observation, the new mean becomes
¯xnew=(x1+5)+(x2+5)+……+(xn+5)n
⇒¯xnew=(x1+x2+……xn)+5nn
⇒¯xnew=∑ni=1xin+5=¯xold+5 [from (i)]
⇒¯xnew=¯xold+5
Hence, the new mean is increased by 5.