Sodium hydroxide solution is treated with acetic acid to form sodium acetate and water.

Salt and water are created when an acid and a base react. When the base sodium hydroxide reacts with the acid acetic acid, sodium acetate is produced as the end result, which is salt and water.

Given that sodium acetate and water are produced when acetic acid is used to treat sodium hydroxide solution. The outcome is depicted below.
$\mathrm{NaOH}+{\mathrm{CH}}_3\mathrm{COOH}\to {\mathrm{CH}}_3\mathrm{COONa}+{\mathrm{H}}_2\mathrm{O}$
Acetic acid is the acid and sodium hydroxide is the base in the aforementioned process. As a result of the reaction between these acids and the base, sodium acetate, which is only salt, is created. Water is also formed as a byproduct. The neutralisation reaction, which creates salt when the acid and base interact in this reaction, is what gives the reaction its name.
Here two ions exchange to form two new products so apart from a neutralisation reaction, it can be said as a double displacement as well.

Hence, the correct answer is option B.