Explanation:

Although Rajya Sabha can't amend or reject the money bill, but it can make recommendations, which lok sabha may or may not accept. So statement 1 is correct.

Rajya Sabha on Money bill: Rajya Sabha can not amend or reject a money bill but only plays a recommendatory role in passing of money bill. RS must return the money bill within 14 days to LS with or without any recommendations. Weather LS accepts or does not except recommendations of RS, bill is deemed to have been passed by both the houses. Now bill is forwarded to President for his assent & he is bound to give his assent to the bill.