Read the following statements carefully:1.The government is considering a new formula for payments to creditors of distressed companies resolved through the insolvency and bankruptcy law. There are two options under consideration. 2.Under one of the plans, the resolution amount would be split into two parts – liquidation amount set by the valuers before the resolution is started, and anything in excess of this amount. 2.The second formula being considered is to set aside a fixed proportion of 5% or 10% of sale proceeds for operational creditors.Which of the above statements is/are correct?

• A. Only 1
• B. Only 1 and 2
• C. Only 1 and 3
• D. Only 2 and 3
• E. All are correct