Reaction of phenyl acetate with anhydrous aluminium chloride generates a mixture of A. ortho, meta and para hydroxyacetophenones B. meta and para hydroxyacetophenones C. ortho and meta hydroxyacetophenones D. ortho and para hydroxyacetophenones

The correct answer is D. ortho and para hydroxyacetophenones.

Phenyl acetate is a substituted benzoic acid, and anhydrous aluminium chloride is a Lewis acid. When these two compounds are mixed, a Friedel-Crafts acylation reaction occurs, in which the acyl group (the -COCH3 group) from the phenyl acetate is transferred to the benzene ring of the aluminium chloride. This reaction can occur at either the ortho or para position to the hydroxyl group, so the product is a mixture of ortho and para hydroxyacetophenones.

The other options are incorrect because they do not account for the fact that the Friedel-Crafts acylation reaction can occur at either the ortho or para position.