Final answer:
The Arabic phrase "ASHRAFUL MAKHLUQAT" means "Best of creatures," highlighting the distinguished place of humans in creation from an Islamic perspective.
Step-by-step explanation:
The term "ASHRAFUL MAKHLUQAT" is an Arabic phrase that translates to "Best of creatures" in English, which corresponds to option C. This term is often used to express the high regard for the status of human beings within the creation, according to Islamic belief. It reflects the perspective that humans, having intellect and the capacity for moral judgement, hold a distinguished place among all creations.