Question: What happens to the RAND and RES* values stored in the ME when the UE receives a SECURITY MODE COMMAND message?
Option 1: The RAND and RES* values are updated with new values.
Option 2: The RAND and RES* values are deleted and timer T3516 is stopped.
Option 3: The RAND and RES* values are sent to the USIM for further processing.
Option 4: The RAND and RES* values are stored in non-volatile memory.
Explanation: According to the text, when the UE receives a SECURITY MODE COMMAND message, the RAND and RES* values stored in the ME shall be deleted and timer T3516, if running, shall be stopped. This is a security measure to ensure that sensitive information is not retained unnecessarily.