You Have Decided to Live in a Converted Loft with Five

You have decided to live in a converted loft with five of your college friends. The loft is a large open room and as a group you have decided to divvy up the floor space using the Last-Diminisher Method. You label yourselves and the order in which the game is played has P₁ first, P₂ second, and so on. Here is how the method begins:

Round 1: P₁ makes the first cut; P₂ passes; P₃ passes; P₄ diminishes; P₅ diminishes; P₆ passes
Round 2: After the first claim is made, P₃ is the only diminisher.
Round 3: After the first claim is made, all the remaining players pass.
After the end of Round 3, which three players are still playing the game?

A)
B)
C)
D)
E) None of the above.