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A Bill presented in Parliament becomes an Act after:
It is passed by both the Houses
The President has given his assent
The Prime Minister has signed it
The Supreme Court has declared it to be within the competence of Union Parliament
When a Bill is passed by both Houses, the Secretariat of the House which is last in possession of the Bill obtains the assent of the President. In the case of Money Bill or a Bill passed at a joint sitting of the Houses, the Lok Sabha Secretariat obtains assent of the President. The Bill becomes an Act only after the President has given his assent to it. Hence option 2nd is correct.
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