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What happens when ng generate component component-name is executed?

  1. A new component is created in the specified directory

  2. The application is rebuilt with new configurations

  3. All existing components are removed

  4. A new service is created

The correct answer is: A new component is created in the specified directory

When the command ng generate component component-name is executed, a new component is created in the specified directory. This process automatically generates the necessary files that are required for a component in Angular, including the TypeScript file for the component's logic, an HTML template, a CSS or SCSS file for styling, and a testing spec file. Additionally, Angular's CLI updates the relevant module to declare the new component, ensuring it is easily integrated into the application. This streamlined approach not only saves time but also helps maintain consistency in file structure and naming conventions throughout the project. The other options do not accurately represent what occurs when the command is executed. The application is not rebuilt with new configurations, existing components are not removed, and a new service is not created as part of this command. Each of these actions is associated with different commands in Angular's CLI, but they do not happen when generating a new component.