A piece of paper is folded, and cut as shown below in the question figures. From the given answer figures indicate how it will appear when opened.
From 3rd step , it is clear that 2 holes are made on same side of the diagonal.
From 2nd step , it is clear that another 2 holes are made on the other side of diagonal.
Since, the hole is not close to any corner, step 1 is not useful.
Hence, Option C.
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