Question: What is the primary purpose of the 'Higher bitrates than 16 Mbps flag' information element in UTRAN's Iu interface RANAP signalling?
Option 1: To indicate the UE's support for enhanced voice codecs introduced in Rel-7.
Option 2: To signal whether the UE can handle NAS QoS extensions introduced in Rel-7.
Option 3: To notify the network about the UE's capability for dual-stack IPv4/v6 operation.
Option 4: To report the UE's preferred bearer selection for video streaming services.
Explanation: The correct answer highlights the flag's role in signaling the User Equipment's (UE) capability to handle Network Access Stratum (NAS) Quality of Service (QoS) extensions introduced in Release 7. This is crucial for managing QoS effectively, ensuring services requiring higher bitrates are properly handled based on UE capabilities.