To determine the order and degree of the given differential equation:
\[
xy \left( \frac{d^2y}{dx^2} \right) + x \left( \frac{dy}{dx} \right)^2 - y \frac{dy}{dx} = 0
\]
Order:
The order of a differential equation is determined by the highest derivative present in the equation. In this equation, the highest derivative is \( \frac{d^2y}{dx^2} \), so the order is 2.
Degree:
The degree of a differential equation is the power of the highest order derivative, provided the equation is free from fractional or negative powers of derivatives. In this case, the highest derivative \( \frac{d^2y}{dx^2} \) is raised to the power of 1, so the degree is 1.
Thus, the order is 2 and the degree is 1, and the correct option is:
\[
\boxed{\text{Order = 2, Degree = 1}}
\]