Final answer:
The correct LIBNAME statement to assign the libref 'mymusic' to an Excel file on Windows is option b, which specifies the full path including the drive, folder, and file with its .xls extension.
Step-by-step explanation:
The correct LIBNAME statement to assign the libref mymusic to the file AllMusic.xls, which is stored in the Entertainment directory of the C: drive on the Windows operating environment, is:
b. libname mymusic 'C:\Entertainment\Allmusic.xls';
This statement correctly specifies the Windows path to the file including the drive letter, the directory, and the complete filename with its extension. The libname statement is important for establishing a connection between SAS and the external data file, enabling SAS to access the file effectively.