Final answer:
The correctly punctuated sentence is Option C, which correctly uses commas and a period with the direct quotation in accordance with the guidelines on punctuation and signal phrases. Thus, the correct answer is Option C: "Henry said proudly, \"We will still support our home team, the Pittsburgh Steelers.\""
Step-by-step explanation:
The question asks us to select the correctly punctuated sentence from the given options. Let's evaluate each option and focus on the correct punctuation of direct speech and the use of signal phrases, as discussed in the reference materials provided. Option A employs an exclamation mark at the end of the sentence, which is not appropriate given the declarative nature of Henry's statement.
Option B breaks up the direct quote with a signal phrase, but incorrectly omits the period after "Pittsburgh Steelers," which is necessary for proper punctuation. Option C correctly punctuates the sentence with a comma after 'said proudly,' and places the period within the quotation marks.
Option D is similar to option B but incorrectly ends with an exclamation mark. Thus, the correct answer is Option C: "Henry said proudly, \"We will still support our home team, the Pittsburgh Steelers.\""