What does the NEGOTIATED field in the output of the show tag-switching atm-tdp capability command indicate?

A.
It indicates that the VC merge capability has been successfully negotiated.

B.
It indicates a set of options that both LDP peer devices have agreed to share on this interface.

C.
It indicates that both TDP peer devices have completed the negotiation phase and have agreed on the TDP/LDP distribution.

D.
It indicates that the negotiated allocation scheme is UNDIR, if and only if, both peer devices have UNIDIR capability (otherwise it is BIDIR).

Explanation:

Negotiated – Set of options that both LDP peer devices have agreed to share on this interface. For example, the VPI or VCI allocation on either peer device remains within the negotiated ranges.
Reference:
http://www.cisco.com/en/US/products/sw/iosswrel/ps1835/products_command_reference_chapter09186a00800