The Priority field is definitely on the Entitlement Policy. What kind of question is this anyway? It's like asking where the 'on' button is on a computer. Everyone knows it's on the Entitlement Policy!
Buyer Group Price Book? Really? That's like saying the priority of a price is determined by the group that buys it. I'm going with C - Buyer Group. That's where the priority should be set, right?
Hmm, I'm not so sure about that. Isn't the Priority field on the Buyer Group Price Book? That's where you'd set the priority for different price books.
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