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Step 4: Adding Caption to Circle
Before creating the caption, lets refer AcadText in the Autocad object model,

AcadText Object
The AcadText object represents a single line of alphanumeric characters. This object differs
from the AcadMText object in that it creates only a single line of text, whereas the AcadMText
object creates a paragraph of text. The AcadText object is created using the AddText method
of the AcadBlock, AcadModelSpace, or AcadPaperSpace object.