When both the dispersed phase and the dispersion medium are liquid, the colloid is known as an emulsion. Correct Answer: Option B - Emulsion Explanation: Sol: Solid dispersed in liquid Gel: Liquid dispersed in solid Foam: Gas dispersed in liquid Aerosol: Solid or liquid dispersed in gas Emulsion: Liquid dispersed in liquid (e.g. milk, mayonnaise) Hence, the type of colloid is emulsion.