This is not a probability question.
Small = S
Large = L
Red = R
Blue = B
Green = G
The only bears that exist as per the given statement are:
S (color not known)
and we know that LB and SB cannot exist.
Given the context - a large Green bear is also not possible because Large bears are only red or blue
I believe 1 and 2 can exist since there is no restrictions on small bears.
Answer should be A