You can use Activity Parameters to set
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The work object status
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The assignment status
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Both
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Neither
Activity parameters in Pega are versatile configuration options that can control both the work object's status (the overall case state) and the individual assignment's status during processing.
Activity Parameters in Pega are used inside an activity's Param page to pass values into steps such as 'Obj-Save', 'Assign-Create', or status-update methods. Because an activity can execute both a work-object-status update (e.g., via Apply-Rule Set-Status or similar step) and an assignment-status update (e.g., closing or routing an assignment) using parameter-driven values, the correct answer is 'Both' — activity parameters aren't restricted to only one of these; they're generic named values usable anywhere in the activity's steps, including setting either status field. 'Neither' is wrong because parameters are commonly used for exactly this purpose, and picking only one of 'work object status' or 'assignment status' understates their flexibility.