Step 1: By definition, porosity $n = V_v/V$, where $V_v$ is void volume and $V$ is total volume. Since $V_v$ is always less than or equal to $V$, $n$ stays between 0 and 1, so it cannot exceed 100 percent. This confirms Statement (I).
Step 2: Degree of saturation $S = V_w/V_v$, where $V_w$ is the volume of water present. An oven dried soil sample has $V_w = 0$, giving $S = 0$ percent, a physically real and common condition. So the claim that $S$ cannot be zero is false.
\[\boxed{\text{Statement I true, Statement II false}}\]