When invoking open() fails, an exception is indeed raised, making this statement true. Additionally, open() is a function that returns an object representing a physical file, which is also a true statement. The statement that open() requires a second argument is incorrect as the mode argument is optional and defaults to 'r' (read mode). The names instd, outstd, and errstd are not standard terms for pre-opened streams in Python, making that option incorrect.