The garbage collector can only free memory that was allocated using the new keyword.
The finalize() method can be used to perform cleanup of dynamically allocated resources before garbage collection occurs.
The statement "the garbage collector can free memory that is being referenced by a static variable" is false. The garbage collector only frees memory that is no longer referenced by any live object. A static variable can keep an object alive even if the object is not referenced by any other object.
Therefore, the only true statement about garbage collection in Java is "the garbage collector can only free memory that was allocated using the new keyword."