Step 1: Rewriting the equation
Divide the equation by \( y \): \[ \frac{1}{y} (x + 2y^2) \frac{dy}{dx} = 1. \]
Step 2: Determine the integrating factor
The integrating factor \( \mu(y) \) is found by recognizing the dependency on \( y \) and multiplying the equation by \( \frac{1}{y} \).
Step 3: Confirm the integrating factor
Upon multiplication, the left-hand side of the equation becomes exact. The calculated integrating factor is \( \frac{1}{y} \), which corresponds to option (D).