The correct answer is C. Phrase Fragment
Step-by-step explanation:
A phrase or sentence fragment is a group of words in which there is missing a verb (action in the sentence) and/ or a subject (agent that carried out the action), this implies in phrase fragment the subject/ verb is missing which means the reader does not have a complete meaning of the sentence at it is fragmented. In the case of "Holding her books, her purse, and two packages" the action or verb is "holding" the complement is "her books, her purse, and two packages" but the subject is missing, thus, even when we know the person doing the action is a woman we do not exactly know who she is and her name or the pronoun she is not mention. Due to this, as the subject is missing, this is a Phrase Fragment.