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The way the question is written is wrong, it leads us to a different answer.

Posted from my mobile device

Fixed the formatting. Thank you!
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Solved this one by finding out which of the answer choices lead to a negative value by taking the sign out.
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If x = −0.5, then which of the following has the smallest value?

In these question if there's any negative value then it is better to anchor on that value unless most of them or all are negative.

(A) \(2^{\frac{1}{x}}\)
Positive fraction

(B) \(\frac{1}{x}\)
Negative number

(C) \(\frac{1}{x^2}\)
Positive number

(D) \(2^x\)
Gives a positive fraction

(E) \(\frac{1}{\sqrt{(-x)}}\)
Since x is negative this choice becomes positive.

Answer B.
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