Answer: C) are; circles.
Explanation: Subject-verb agreement means the subject and verb must have the same number (both singular or both plural). In the first sentence the subject is plural (planets) so the verb should be in plural form (are). In the second sentence, the subject is singular (Mercury), so the verb should be in singular form (circles). The complete sentences would be: "Planets that orbit the sun are part of our solar system. Mercury, one of the smallest planets, circles closest to the sun."