Based on an invented story a piece of writing is recognized as fiction.
Explanation
Fiction refers to the narrative account including the imaginary people, locations and scenarios.
Fiction is used by authors to make an imaginary universe where characters are imaginary and do not exist.
Fiction includes works like short stories, novels, plays, fairy tales etc.
Fiction can be used as a narrative tool to attract kids in the same way as story-telling.
It is created with intention to pass a message that has a moral value and do not hurt anyone existing.