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Spongy (cancellous) bone differ from compact (dense) bone in that spongy bone:
A. has a concentric ring structure
B. is found in the diaphysis of long bones
C. contain many large cavities
D. is made up of numerous osteons (Haversian systems)

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Answer
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Hint: Bones are the crucial structure which helps in giving the shape to the body. Compact and spongy bones are the structural bones which help in muscle functioning.

Complete answer:
Skeletal bones are divided into compact and spongy bones. Spongy bones are the porous bones which have high vascularization and make the long bone called epiphysis. These are porous in nature so there are many large cavities present in them.
Compact bone: are very rigid and dense bones which makes the cortex of many bones in the body. It consists of Haversian canals which are surrounded by matrices.
Compact Bones Spongy Bones
These are rigid and tough bones which are known as cortical bones.These are very light, porous and soft bones which are known as cancellous bones.
They form the shaft of big bones.They form at the end of long bones.
They are composed of osteonsThey are composed of trabeculae.
The colour produced in bone marrow is yellow and the storage is fat.The colour produced by the bone marrow is red and it forms red corpuscles.
There is no gaps in between the bone lamellaThere are tiny gaps found in the lamella.
It is the outer layer of some bones with bone marrow cavity in the centre.It is the inner layer of some bones with no bone marrow cavity.

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Hence, the correct answer is option (C).

Note: Skeleton system consists of a framework of bones and a few cartilages. This system helps in moments shown by the body. Bone has a very hard matrix due to calcium salts in it whereas cartilage has a significantly pliable matrix to chondroitin salts.