Consider the following statements: 1. If magenta and yellow coloured circles intersect, the intersected area will have red colour. 2. If cyan and magenta coloured circles intersect, the intersected area will have blue colour. Which of the statements given above is/are correct?

Both statements are correct. In subtractive (pigment/ink) colour mixing, the CMY primaries absorb (subtract) complementary additive primaries from white light; overlapping two subtractive primaries leaves the remaining additive primary. Magenta and yellow filters/inks subtract green and blue respectively, leaving red to be reflected, so magenta + yellow appears red. Likewise, magenta and cyan subtract green and red respectively, leaving blue to be seen, so magenta + cyan appears blue [1]. These relationships are routinely used in printing (CMY/CMYK) and illustrated by overlapping coloured filters or printed inks, producing the secondary additive primaries at the intersections.

Sources

1. [1] https://www.animations.physics.unsw.edu.au/jw/light/colour-mixing.htm