Correct option is B
Option (b)
returned to school is the correct substitution.
Explanation: The phrase "returned to school" correctly simplifies the sentence by avoiding the unnecessary repetition of the auxiliary verb "will have." Since the sentence already indicates that the action will be completed by "next summer," using just "returned to school" is concise and correct.
Correct Sentence: By next summer, I will have completed my internship and returned to school.
Grammatical rule used: In sentences where two future actions are linked by "and," it is often unnecessary to repeat the auxiliary verb if the tense and context are clear from the first verb phrase.
Example: By the end of the day, I will have finished my work and gone home.