A vessel on a coastwise route under 46 CFR §180.68 wishes to substitute rocket parachute flares for some of her required hand orange smoke signals. Which statement is correct?

1. A. Rocket parachute flares may not be substituted for smoke signals under any circumstances.
2. ✓ A rocket parachute flare (160.036) may be substituted for any of the required hand orange smoke distress signals.Correct
3. C. A rocket parachute flare may substitute for hand red flares only, not for smoke signals.
4. D. Substitution is permitted only if the vessel also carries the full complement of hand red flares.