We know that, if a language is finite then it is a regular language, but if it is infinite then it can be regualar or may not be regular.
For example: L = { W | W ending with b and W = { a,b }* }
L = { b, abbb,aaaabb,. . . . } it is an infiinte language but it is regualar language defined as (a+b)*b.
For second Statement,
let L be language.
L* always contains ∈, so (L*)' does not contain the ∈.
But (L')* will contain ∈, as regular expression with * always contains empty string ∈.
but (L*)' does not contain ∈. Hence (L')* ≠ (L*)'.
Hope it helps
Hence S1 is False, Hence D is correct Ans.