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A
There is no difference
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B
A nail is driven straight in (usually with a hammer) and holds by friction; a screw has threads, is turned in, and grips more securely and is removable
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C
Nails are always larger
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D
Screws cannot hold wood
Why this is the answer
A NAIL is driven straight in (usually with a HAMMER) and holds by FRICTION; a SCREW has THREADS, is turned in (with a screwdriver/drill), grips more SECURELY (the threads bite into the material), and can be easily removed. ASVAB Shop Information tests fasteners. Screws provide stronger, more reliable holding power and can be unscrewed; nails are faster to install but hold less securely and are harder to remove cleanly. Knowing the nail-vs-screw distinction (friction vs threads, holding strength, removability) is commonly tested.
Source: ASVAB Shop Information — Nails vs Screws