Consider the following statements regarding Private final consumption expenditure (PFCE):

1. It is the expenditure incurred by the resident households and non-profit institutions serving households on final consumption of goods and services.
2. It forms more than half of the Real Gross Domestic Product of India.

Which of the statements given above is/are correct?

• 1 only
• 2 only
• Both 1 and 2
• Neither 1 nor 2