Can someone help me better understand why (B) is correct over (A)?
Did the question indicate whether it was a residential lease or commercial lease?
If commercial --> Tenant held to new year to year tenancy if original lease term was one year or more; or periodic based on terms if the lease was less than one year.
If residential --> Tenant held to month to month tenancy, regardless of how long the previous term was.
Sounds like this question was likely a residential lease.