Differentiating Domains

What is the major difference between a data element and a domain with reference to ABAP Development?

Options

1. Domains are used to declare variables in a program and data elements hold the information of data type and value range.
2. Domain holds the technical characteristics with information of the data type and value range. Data element holds the semantic information used to define table fields and declare variables in a program.
3. Data elements cannot be created without defining a domain whereas domain can exist without the data element.
4. None of these