Amoeba reproduces by budding.

Explanation

**Step-by-Step Solution:**

1. **Understanding Amoeba:**
- Amoeba is a unicellular organism, meaning it consists of a single cell. It is classified as a eukaryote, which means it has a defined nucleus and membrane-bound organelles.

2. **Reproduction in Amoeba:**
- Amoeba primarily reproduces asexually. This means that it can reproduce without the involvement of another organism.

3. **Binary Fission Process:**
- The correct method of reproduction in Amoeba is called binary fission. In this process, the parent amoeba divides into two equal parts.
- The nucleus of the amoeba elongates and divides, followed by the division of the cytoplasm, resulting in two daughter cells.

4. **Budding vs. Binary Fission:**
- Budding is a different form of asexual reproduction where a new organism develops from an outgrowth or bud on the parent organism. This is not the method used by amoeba.
- Since amoeba reproduces by binary fission and not by budding, the statement "Amoeba reproduces by budding" is incorrect.

5. **Conclusion:**
- Therefore, the statement is false. Amoeba reproduces by binary fission, not by budding.

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