The total demand distortion (TDD) at the point of common coupling (PCC) can be calculated using the following formula:
TDD = 100 * sqrt((THD^2 - PF^2)/(1 - PF^2))
Where THD is the total harmonic distortion, PF is the power factor.
Substituting the given values, we get:
TDD = 100 * sqrt((0.5^2 - 0.86^2)/(1 - 0.86^2)) = 48.9%
Therefore, the answer is (B) Between 40 and 49.99.