Correct Answer - Option 2 : processing instruction
The correct answer is option 2
PI in XML stands for Processing Instructions.
Processing Instructions (PI) are not a part of character data but must be passed through to the application.
They can be present anywhere in the document outside the markup.
They are used to send information to the application.
The syntax of PI is <?target instructions?> where target is the target application and instructions is a character set containing information for the application.