well, I believe answer is E
equation for line K is y = ax + b
statement 1 means that for y = 0, ax + b = 0 and x = -b/a > 1 but we do not know the values for a and b therefore we cannot state if the line intersects the circle. Statement 1 is not sufficient alone.
statement 2 says that a = -1/10, meaning that y = -x/10 + b. We do not know the value of b, thus statement 2 is not sufficient alone. Indeed if b is outside [-1; 1], K does not intersect C.
Combining statements 1 & 2 means first that if y = 0, -x/10 + b = 0, i.e. x = 10b
and second that x > 1, i.e. b > 1/10
it is still not sufficient as if 1/10<b<1, K intersects C while if b>1, K does not intersect C
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