Step 1: Interpretation of $G_2$.
The matrix $M^2$ captures the number of walks of length exactly $2$ between pairs of vertices. Hence, in $G_2$, an edge exists between two vertices if their distance in $G$ is either $1$ or $2$. Thus, $G_2$ effectively "shortcuts" paths of length $2$ into single edges.
Step 2: Effect on shortest paths.
Any shortest path of length $k$ in $G$ can be traversed in $G_2$ by covering two edges of $G$ at a time. Therefore, the distance between any two vertices in $G_2$ is at most $\lceil k/2 \rceil$.
Step 3: Relation between diameters.
Since the diameter is the maximum shortest-path length over all vertex pairs, we obtain
\[
\text{diam}(G_2) \le \left\lceil \frac{\text{diam}(G)}{2} \right\rceil.
\]
Step 4: Conclusion.
Hence, option (A) correctly describes the relationship between the diameters of $G$ and $G_2$.
The following simple undirected graph is referred to as the Peterson graph.

Which of the following statements is/are TRUE?