Correct option is B
Statement I is incorrect because a dependent variable can be dichotomous. A dichotomous variable is one that takes on one of only two possible values, often labeled as "0" and "1" or "True" and "False". There's no inherent reason why a dependent variable, which is the variable being tested and measured in an experiment, can't be dichotomous.
Statement II is also incorrect. An independent variable, which is manipulated to observe its effect on the dependent variable, does not have to be dichotomous. Independent variables can be dichotomous, continuous, categorical, etc., depending on the nature of the study and what is being measured or tested.