Step 1: Understanding anaerobic respiration.
Anaerobic respiration occurs in the absence of oxygen and mainly involves the process of glycolysis. Step 2: ATP generation during glycolysis.
ATP is produced by substrate-level phosphorylation at two distinct steps during glycolysis. Step 3: Analysis of options. (A) Two steps: Correct — ATP formation occurs at two steps in glycolysis. (B) Four steps: Incorrect — ATP is consumed at some steps. (C) Single step: Incorrect — ATP is formed more than once. (D) Three steps: Incorrect — only two ATP-generating steps exist. Step 4: Conclusion.
In anaerobic respiration, ATP formation from one glucose molecule takes place at two steps.