John Gittens is reviewing his firm's guidance for the application of the CAMELS framework and notices the following two statements: Statement 1"The mission of a banking entity will affect the way its assets and liabilities are managed, and hence this qualitative: impact is usually addressed within the management capabilities section of the CAMELS approach." Statement 2: "The corporate culture may lead to excessive risk taking, or even a high level of risk aversion, and this aspect is not covered in a typical CAMELS analysis." Regarding the two statements made by Gittens, statement 1 is most likely:

Select one:

a. incorrect, and statement 2 is most likely correct

b. incorrect and statement 2 is most likely incorrect

c. correct and statement 2 is most likely correct

d. correct and statement 2 is most likely incorrect