Which statement is true about the access privileges of User 1?

User 1 has read-only privileges to all objects in the Production folder. This means that User 1 can view the configurations, settings, and statuses of the objects within that folder but cannot make any changes or modifications. This type of access is typically assigned when it is necessary to provide visibility into the environment without allowing the user to alter any of the data or configurations.

Having read-only access is beneficial in environments where certain users need to monitor systems without the risk of accidental modifications that could lead to downtime or configuration errors. In the context of VMware environments, this would allow User 1 to gather information for auditing, reporting, or troubleshooting without the ability to inadvertently disrupt operations.

The other options would imply a level of access or control that User 1 does not possess. For example, administrative privileges would grant the ability to change configurations and manage resources, which is not the case here. Therefore, the condition that User 1 holds read-only privileges aligns perfectly with the stated access and responsibilities typically expected in such roles.