The correct option is B In absence of glucose and presence of lactose
Lactose acts as inducer for lac operon.
In the presence of glucose, cellular cAMP levels are low. For binding of RNA polymerase to promoter, the catabolite gene activator protein (CAP) need to be bound to cAMP. Due to low cAMp levels, this complex is not formed and hence, no transcription of lac genes happens.