The correct answer is option 1, which states that only statement 1 is correct. Let`s dissect each statement for a better understanding:

Statement 1: A real image can be formed on a screen. This statement is correct. A real image is formed when light rays actually converge to a point and can be projected onto a screen or surface.

Statement 2: A real image is always magnified and inverted. This statement is incorrect. A real image can be either magnified or reduced, depending on the characteristics of the optical system. Additionally, while real images are often inverted, there are scenarios where a real image can be formed without inversion.

Therefore, statement 2 is incorrect, and statement 1 is correct. The correct answer is option 1.