"Is my question about the different breeds of dogs and the domesticated banana in relation to evolution correct?"
It pains me to give this answer, but my response to this would be "halfway". In the one sense, you are entirely right: the process by which these things came about was indeed variation with natural selection. However, Creationists are quick to point out that both of these examples are simply narrowing the gene pool, rather than producing new alleles.
However, having said that, division into breeds is the first step of speciation, which really is evolution in progress.
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