Step 1: Understanding Magnetic Declination.
The magnetic declination is the angle between magnetic north and true north. If the magnetic declination is 5°30' east, it means the magnetic north is 5°30' to the east of true north.
Step 2: Calculating the True Bearing.
The true bearing can be calculated by adding the magnetic declination to the magnetic bearing of the line A(B) The magnetic bearing of line AB is 88°45', and the magnetic declination is 5°30' east.
\[
\text{True Bearing} = 88°45' + 5°30' = 93°15'.
\]
Step 3: Conclusion.
Therefore, the true bearing of line AB is 93°15', making option (1) the correct answer.
Final Answer:
\[
\boxed{93°15'}
\]