Step 1: Concept
A diode is forward biased when the p-side (anode) is at a higher potential than the n-side (cathode).
Step 2: Analysis of Figure C
In figure C, the p-side is connected to a higher positive potential (or ground vs negative) compared to the n-side.
Step 3: Conclusion
This configuration allows current to flow through the diode.
Final Answer: (B)