Correct option is B
Explanation:
Demand Factor: The demand factor is the ratio of the maximum demand of a system to the total connected load. It is always
less than or equal to 1 because the maximum demand is usually less than the total connected load. Therefore,
Statement 1 is False.
Diversity Factor: The diversity factor is the ratio of the sum of individual maximum demands to the maximum demand of the entire system. It is
always greater than or equal to 1 because individual demands usually do not peak at the same time. Therefore,
Statement 2 is False.