The correct option is B on the circle.
Let O be the center of the circle. LM is the diameter,
LM=2×OL=(2×5) cm=10 cm
LP2+PM2=62+82=36+64=100
and LM2=102=100
⇒ LP2+PM2=LM2⇒△LPM is right angled triangle, rt. ∠d at P⇒∠LPM=90∘
⇒ P lies on the circumference of the circle (Since, Angle in a semi-circle is a rt. ∠)