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Food labeling regulation: Food of a type that does not

Hello,

Having trouble understanding this question comprehensively. Neither could I properly diagram its underlying logical pattern. However, my diagram is like below:
food without fat can be labeled ""nonfat" ---> most people mistakenly believe the food contains fat people mistakenly believe the food contains fat + label states the food contains no fat ---> food can be labeled "nonfat"Is that correct? Any other more effective way than diagramming to solve this question?

Please help

I didn't find the right solution from the internet.

References:
https://forum.powerscore.com/lsat/viewtopic.php?t=7937
Web animation company

Thanks
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