Option B is the odd one out because it diverges into a discussion about the terminology surrounding the concept of understanding others' mental states. While the other sentences delve into explaining and expanding upon this capacity, Option B takes a meta-discussion approach, exploring scholars' preferences for terms like "mentalizing" or "mindreading." Unlike the others, it doesn't directly contribute to the substantive discussion of perceiving and interpreting other people's behavior in terms of their mental states. Thus, within the context of forming a coherent paragraph, Option B emerges as the outlier.
So, the correct option is (B): It is a ‘theory of mind’ though some scholars prefer to call it ‘mentalizing’ or ‘mindreading’, which is important for the development of one's cognitive abilities