WordPress in subdomian.

Hey there.
I am using wordpress for my site and have created a subdomain that I wish to use wordpress in also.
Can I use wordpress in the subdomain or will it mess with the orginal?

ie …

my website is http://www.demoncheese.com
I want to have http://www.jokes.demoncheese.com but I want the exact same layout as the original.
I was going to install wordpress in the subdomain folder and then use the same theme.
Would this work??