The correct answer is (D) 1. A deceptive, misleading, or false notion or belief, etc. A popular misconception. 2. False reasoning; misleading or unsound argument. 3. The characteristic in reasoning of being deceptive, misleading, or false nature; erroneous.

Examples of use:

• One popular fallacy had been that the world was flat.
  
  
• The fallacy in our decision to offer the product in only one size was soon evident.