Correct option is B
Statement 1 is incorrect.
The Upanishads, which are part of the later Vedic texts, include various forms of teachings such as dialogues, stories, and parables. Parables, in particular, are used to convey philosophical ideas in a simple and accessible manner. For example, the famous parable of the "Two Birds" in the Mundaka Upanishad illustrates the distinction between the self (Atman) and the ego.
Statement 2 is correct.
The Upanishads are part of the Vedic literature and are considered some of the oldest philosophical texts in Indian history. They were composed during the late Vedic period (approximately 800-200 BCE). On the other hand, the Puranas were composed much later, beginning around the early centuries of the Common Era, although they continued to be developed and added to over several centuries.