Well, if you read the question, it asks:
"Minimum safe altitude in an area is 12,000ft. QNH at a local airfield is 1030hPa.
Average temp of atmosphere is ISA+10. What will altimeter read at this safe
altitude?"
It says nothing about elevations. QNH and temperature are irrelevant. If an aircraft is flying at the "safe altitude" of 12,000', the altimeter will read 12,000'. Doesn't matter what QNH you have set, only the aircraft's elevation will vary.
But this dopey question doesn't have 12,000 as an answer, so they obviously mean something else. But who knows what?