Similarity ratio will be ratio of sides of two octagon
Now area are in square inches and sides are inches, so side ratio will be given by square roots of area
So first simplify 18: 50. For that we divide ratio by greatest common factor they have. Greatest common factor in 18 and 50 is 2. So divide 18 and 50 by 2

9 : 25
Now square root it

3 : 5
so similarity ratio will be 3 : 5
Similarly units for perimeter is in inches and that of area is in 
so ratio of perimeter will be given by square roots of that of area
so ratio of perimeter will be

3 : 5
So ratio of perimeter will be 3 : 5
So we got similarity ratio as 3 : 5 and perimeter ratio as 3 : 5
so choice (3) is the right answer here