S2 is wrong as booth algorithm was invented to decrease the time of multiplication. It does mutiplication by using shift operation which is much faster then a normal multipier where m*n multiplier cells is used.
S1 is correct as in booth algorithm we just need to keep track of bits which is flipping nd booth algorithm just uses a shiftregister where the multiplier reside ,calcullated result is stored in the same register so it uses very few space than any other algorithm.