Final answer:
Iceland was created by the eruption of lava from the mid-ocean ridge, forming a large landmass above the water.
Step-by-step explanation:
The correct answer is b. Lava erupted from the mid-ocean ridge, creating land above the water. Iceland was formed by a divergent boundary, specifically the Mid-Atlantic Ridge. The Mid-Atlantic Ridge is a long underwater mountain range where magma rises from Earth's mantle, creating new oceanic crust. In the case of Iceland, the volcanic activity was so intense that it formed a large landmass above the water.