IIT JEE Advanced 2007 Paper 2

STATEMENT-1: A vertical iron rod has a coil of wire wound over it at the bottom end. An alternating current flows in the coil. The rod goes through a conducting ring as shown in the figure. The ring can float at a certain height above the coil

because
STATEMENT-2: In the above situation, a current is induced in the ring which interacts with the horizontal component of the magnetic field to produce an average force in the upward direction.