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A, D - Incorrect: The pronoun it refers to the subject of the previous clause smoking cigarettes but illogically implies that smoking cigarettes can be avoided instead of the inflammation of the lungs.
C - Incorrect: The use of the subject the fact creates an illogical sentence because it implies that the fact… can be avoided.
E - Incorrect: The relative pronoun which introduces a modifier that incorrectly modifies the lungs and illogically means that the lungs can be avoided.
B - Correct: Correctly places the inflammation as the subject that refers to the verb can be avoided.