The correct option is C Paraffins and Olefins
Decolourisation of alkaline KMnO4 (Baeyers reagent) is used as a test to distinguish Paraffins & Olefins. Alkaline KMnO4 reacts with Olefins but not with paraffins (alkanes).
RCH2=CH2+H2O+OfromKMnO4→RCH(OH)−CH(OH)R
After reaction with alkenes, the bright purple colur of KMnO4 disappears.