A company has two AWS accounts.

To allow a Lambda function in one AWS account to access a KMS customer managed key in another AWS account, the following steps are required:

Configure the key policy for the customer managed key in the production account to allow access to the IAM role of the Lambda function in the development account. A key policy is a resource-based policy that defines who can use or manage a KMS key. To grant cross-account access to a KMS key, you must specify the AWS account ID and the IAM role ARN of the external principal in the key policy statement. For more information, see Allowing users in other accounts to use a KMS key.

Configure the IAM role for the Lambda function in the development account by attaching an IAM policy that allows access to the customer managed key in the production account. An IAM policy is an identity-based policy that defines what actions an IAM entity can perform on which resources. To allow an IAM role to use a KMS key in another account, you must specify the KMS key ARN and the kms:Encrypt action (or any other action that requires access to the KMS key) in the IAM policy statement. For more information, see Using IAM policies with AWS KMS.

This solution will meet the requirements of allowing secure access to a KMS customermanaged key across AWS accounts.

The other options are incorrect because they either do not grant cross-account access to the KMS key (A, C), or do not use a valid policy type for KMS keys (D).

Verified References:

https://docs.aws.amazon.com/kms/latest/developerguide/key-policy-modifying-external-accounts.html

https://docs.aws.amazon.com/kms/latest/developerguide/iam-policies.html