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Discourage the weights= option of lm with summarized data

B, including C, is "the latter case".
Not so. If it did, it should go inside the parentheses.
That would be wrong. Data can be summarized by means of groups (and SDs, which are unused, hence the suboptimality), _including_ the case where all elements are identical.
That would seem to be a matter of taste. 

Howver, "equivalently" in (B) does not look right.