The correct option is A Lung alveoli
Squamous epithelial cells are thin, flat cells. Simple squamous epithelium is a single layer of squamous cells, which form a thin, delicate lining. Such lining is generally utilized where the transportation of substances takes place through selective permeability.
The trachea is a windpipe, which connects larynx and pharynx to the lungs. Trachea carries the wind to the lungs. So, the trachea need not be having the selectively permeable lining.
The intestine is the place where absorption of nutrients takes place. For this function, tall columnar cellular lining is utilized.
Oviduct carries out the function of pushing the fertilized ovum or zygote towards the uterus. For this purpose, the inner surface of the oviduct is lined by ciliated epithelium, which moves and pushes the zygote.
Lung alveoli perform the function of gaseous exchange. For this purpose, alveoli has a selectively permeable lining of simple squamous epithelial cells. So, the correct option is A.