Which statement is TRUE concerning the placard entitled "Discharge of Oil Prohibited"?

Correct Answer: Option C — It must be located at the bilge and ballast pump control station.

33 CFR 155.450 requires that the 'Discharge of Oil Prohibited' placard be posted in a conspicuous place at the bilge and ballast pump control station. This ensures that personnel operating the equipment are constantly reminded of environmental regulations regarding oil pollution prevention.