Explanation:

Both codes 2&3 are not compulsory provisions under 74th Amendment Act.
Compulsory Provisions of 74th Amendment Act

• Constitution of nagar panchayats, municipal councils and municipal corporations; 
• Reservation of seats in urban local bodies for Scheduled Castes / Scheduled Tribes;
• Reservation of seats for women up to one-third seats; o Constitution of the State Election Commission;
• Constitution of the State Finance Commission;
• Fixed tenure of urban local self-governing bodies (five years); 

Voluntary Provisions of 74th Amendment Act

• Giving voting rights to members of the Union and State Legislatures in these bodies;  
• Providing reservation for backward classes; 
• Giving financial powers in relation to taxes, duties, tolls and fees, etc;
• Making the municipal bodies autonomous and devolution of powers to these bodies.

Hence option 2nd is correct.