Both the ANSWER and the EXPLANATION:
When Sergeant-Major Morris initially tells the story behind the magic monkey's paw, Mr. White and his son are intrigued by the story. Both Mr. White and his son, Herbert, ask Sergeant-Major Morris several questions regarding the monkey's paw, its origins, and its history. While both Mr. White and his son find the monkey's paw fascinating, they are not positive that the paw is actually magical and want to find out for themselves if Morris is telling the truth. Mrs. White does not believe that the monkey's paw has any magical powers and dismisses it as being pure fantasy. After her husband recovers it from the fire, Mrs. White comments, "Sounds like the ‘Arabian Nights'" (Jacobs, 3). Herbert then encourages his father to make a wish and suggests that he wish for two hundred pounds to pay off the mortgage. Mr. White considers Herbert's suggestion and casually wishes for two hundred pounds. Suddenly, Mr. White feels the monkey's paw move and his wife insists that it was simply his imagination. Herbert also reveals his doubts about the magical powers of the monkey's paw before heading to bed. Unfortunately, Mr. and Mrs. White discover the dark truth behind the monkey's paw as their worst fears come to fruition.
I guess the paragraph break should be after the B) Ellen asked and "How are you feeling?" and Ellen said. Because while reading this dialog, reader need a pause between the information which these characters exchange. In my opinion, there must be graphical and emotional space between their introduction and next action that hasn't revealed yet. Also, I'd choose B to make this conversation looks alive.
Capital first letter I think but I'm not completely sure if that's what you're looking for :/<span />
