First, draw a diagram to visualize the situation:
Since BC is tangent to the circle P, then the angle C is a right angle.
Then, the triangle ACB is a right triangle. From the Pythagorean Theorem, we know that:

Since AB and BC are known, isolate the unknown AC from the equation:

Replace AB=12 and BC=5:

Since P is the center of the circumference and A, C are points in the circumference, then AP=PC. This implies that AC=2AP. Then:

Therefore, the correct choice is option B) 5.5 units.