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The following statement on the financing decision are provided:

a$)$ Equity finance and debt finance are the two main types of finance available to a company

b$)$ Short$-$term requirements do not have an impact on the decisions of how a company should be financed.

c$)$ Debentures, mortgage bonds, non$-$distributable reserves, long$-$term loans, lease finance and any form of long$-$term finance that does not have an option to convert to ordinary shares are sources of debt finance.

d$)$ The owners of shares in a company are the providers of equity finance.

e$)$ Equity funding includes ordinary issued share capital, distributable and non$-$distributable reserves and retained earnings.

Which of the statement provided above are FALSE?

$1.$

Options $($b$)$ and $($c$)$

$2.$

Options $($a$),($b$)$ and $($c$)$

$3.$

Options $($a$)$ and $($e$)$

$4.$

Options $($b$),($c$)$ and $($e$)$