Yes, it is a domesticated animal crossing, and you must yield: Correct
When encountering a herd of animals on the road, it is essential to yield. Domesticated animals, such as cattle or sheep, may be crossing under the guidance of herders or farmers. Traffic laws often require drivers to give way to ensure the safety of the animals, their handlers, and other road users. Yielding in such scenarios prevents accidents and demonstrates responsible driving behavior.
No, animals on the road never have right of way: This is incorrect because traffic rules generally prioritize safety, and animals, especially domesticated ones, are considered vulnerable entities that must be protected.
Only when they are already crossing: This is incorrect because you should always yield to a herd, whether they are already crossing or preparing to cross, to avoid startling them and ensure a smooth crossing.