Aldehydes and ketones possessing at least one \( \alpha \)-hydrogen are capable of undergoing aldol reactions. This is attributable to the acidic nature of these \( \alpha \)-hydrogens, which facilitates the formation of an enolate ion. This enolate ion subsequently attacks the carbonyl carbon of a second molecule, resulting in the aldol product. Consequently, Statement I is validated as correct.
Benzaldehyde lacks an \( \alpha \)-hydrogen, precluding the formation of an enolate ion. In contrast, ethanol, when interpreted as acetaldehyde in this context, possesses \( \alpha \)-hydrogens and can engage in aldol reactions, either with itself or with other compounds capable of forming enolate ions. Therefore, a cross-aldol product can be synthesized from benzaldehyde and acetaldehyde (ethanal). Accordingly, Statement II is determined to be incorrect.
Statement I is accurate, while Statement II is inaccurate. The correct selection corresponds to Option (4).