The correct option is C (x−2)2+(y−5)2=8
|x−2|+|y−5|=4 is a square with centre (2,5) which is centre of the circle also.
Distance between two parallel sides (x−2)+(y−5)=4 and (x−2)+(y−5)=−4
i.e., x+y=11 and x+y=3 is
∣∣∣−11+3√2∣∣∣=4√2
∴ Radius of the required circle =2√2
Hence, equation of the circle is (x−2)2+(y−5)2=(2√2)2=8