Step 1: Concept
Cleavage of alkyl aryl ethers by hydrogen halides ($HX$).
Step 2: Analysis
- Anisole is Methoxybenzene ($C_{6}H_{5}OCH_{3}$).
- In the reaction with $HI$, the bond between $O-CH_{3}$ breaks because the $Ar-O$ bond has partial double bond character.
- Products: $C_{6}H_{5}OH$ (Phenol or Benzenol) and $CH_{3}I$ (Iodomethane).
Step 3: Conclusion
Hence, product 'A' is Benzenol (Phenol).
Final Answer: (C)