Answer: A
In 1-bromo-3-chlorocyclobutane the two ring paths from C1 to C3 are identical (CHX2 each), so C1 and C3 are not classical stereocentres: neither carries four different groups. The cis and trans arrangements are nevertheless different compounds (diastereomers). Each has a mirror plane containing C1, C3, Br and Cl, so both are achiral. Total = 2 stereoisomers, both optically inactive.