Silver chloride is soluble in ammonium hydroxide due to the formation of

Silver chloride is soluble in ammonium hydroxide due to the formation of $\left[\mathrm{Ag}{\left({\mathrm{NH}}_3\right)}_2\right]\mathrm{Cl}$.

Ammonia is a gas that may be found in water as ammonium oxide. When AgCl is introduced, it combines with ammonia to form $\left[\mathrm{Ag}{\left({\mathrm{NH}}_3\right)}_2\right]\mathrm{Cl}$, or Diamine Silver Chloride, which is soluble in water. Consequently, $\mathrm{AgCl}$is insoluble in water but soluble in ammonium hydroxide.

Hence option B is correct