Identify the correct statement based on the diagram.

A neuron is a microscopic structure composed of three major parts, namely, the cell body, dendrites, and axon. The cell body contains cytoplasm with typical cell organelles and certain granular bodies called Nissl’s granules. Short fibres which branch repeatedly and project out of the cell body also contain Nissl’s granules and are called dendrites. These fibres transmit impulses towards the cell body. The axon is a long fibre, the distal end of which is branched. Each branch terminates as a bulblike structure called synaptic knob which possess synaptic vesicles containing chemicals called neurotransmitters.