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The third option is the correct answer which includes statements 1, 3 and 4. Here’s why:
Statement 1: Ancient Indian texts like the Sushruta Samhita confirm that specialized surgical instruments were in use by the 1st century AD.
Statement 2: This statement is incorrect. There is no evidence or historical record to suggest that transplantation of internal organs was happening in India by the beginning of 3rd century AD.
Statement 3: The concept of sine of an angle was indeed known by the 5th century AD. This knowledge was used extensively in Indian astronomy and mathematics.
Statement 4: The concept of cyclic quadrilaterals was understood in India by the 7th century AD. This can be seen in the works of Brahmagupta, an ancient Indian mathematician.
So, the correct statements are 1, 3 and 4, making Option 3 the right answer.