In that case, try options 1 then 3. I don't have a need for DirectX 8 so I haven't upgraded yet. I'm not saying RS will not work with DirectX 8, but don't know anybody with that combination. If you need it for other games, then of course don't go backwards. I am holding off on going to later version of DirectX until I need it. If it's not broken, why fix it, right?
Ties are flies, swat'em!