Tower of Hanoi function works as:
TOH(n, x,y,z){
if(n>=1)
{
1.TOH(n, x,z,y) .//....(T(n-1))
2.move x->y .//.....(1)
3.TOH(n,z,y,x) //.....(T(n-1))
} }
thus TOH function is recursively called and step 2 is just move which takes O(1) time so as it is asked order of work, option 1 is correct.