Option 2 is ruled out because you don't need a join table for 1:M relationships.
The relationship between
APPLICATION_STUDY
andCONSULTATION
is 0:M, not 1:M.Option 1 is the correct one. That's the usual way of modeling 0:M relationships: a nullable FK on the MANY side.
EDIT : Note that the 0 in 0:M mean 0 or 1, which is why you have a nullable FK on the many side.