What do you understand by analogous organs?

Anatomically different but performing similar functions.

The correct answer is Option (2) – Anatomically different but performing similar functions.

Analogy is based on convergent evolution.Wings of butterfly and of birds look alike. They are not anatomically similar structures though they perform similar functions. Hence, analogous structures are a result of convergent evolution - different structures evolving for the same function and hence having similarity. Other examples of analogy are the eye of the octopus and of mammals or the flippers of Penguins and Dolphins. One can say that it is the similar habitat that has resulted in selection of similar adaptive features in different groups of organisms but toward the same function: Sweet potato (root modification) and potato (stem modification) is another example for analogy.