I have just bought iPhone 4S and want to give iPhone 4 to my sister. To change the owner we have 2 options
1. just setting > apps > sign out and she will sign in with her account.
2. Reset erase all content and setting.
If I to use option 1 will my sister have access to use all the apps already installed on the phone and pay for new downloads - is that right?
If I to use option 2 - all apps will be erased and have to pay for all the apps download.
Please clarify ?