Introduction:
The correct answer is option 'B', Kashmir. Sugandhadevi, also known as Queen Sugandha, was a ruler of Kashmir who issued coins with the figure of seated Lakshmi. In this response, we will delve into the details of Sugandhadevi's reign and her coinage.

Background:
Kashmir, a region located in the northern part of the Indian subcontinent, has a rich history of ruling dynasties. During the medieval period, several powerful rulers emerged in Kashmir, including Sugandhadevi.

Sugandhadevi's Reign:
Sugandhadevi was the Queen of Kashmir who ruled during the 11th century CE. She belonged to the Karkota dynasty, which was one of the prominent ruling families of Kashmir. Sugandhadevi's reign is known for its significant contributions to the cultural and economic development of the region.

Coins with Seated Lakshmi:
One of the notable aspects of Sugandhadevi's reign is her issuance of coins depicting the figure of seated Lakshmi. Lakshmi, the Hindu goddess of wealth and prosperity, is often depicted seated on a lotus flower. Sugandhadevi's coins featured this iconic image, symbolizing prosperity and good fortune.

Significance of Seated Lakshmi:
The depiction of seated Lakshmi on the coins of Sugandhadevi reflects the ruler's emphasis on wealth and prosperity. It also highlights the importance of the goddess in the socio-economic fabric of Kashmir during that period. The coins were likely minted to showcase the ruler's power and wealth and to reinforce the association between the ruler and the goddess.

Legacy:
Sugandhadevi's reign and her coinage with the figure of seated Lakshmi are significant historical artifacts that provide insights into the cultural and economic milieu of medieval Kashmir. These coins serve as a testament to the ruler's patronage of art and her efforts to promote prosperity in her kingdom.

Conclusion:
Sugandhadevi, the Queen of Kashmir, issued coins with the figure of seated Lakshmi during her reign in the 11th century CE. These coins symbolize prosperity and highlight the ruler's emphasis on wealth. The portrayal of Lakshmi on the coins reflects the cultural and economic significance of the goddess in medieval Kashmir.