What are you required to do according to the following road sign?

1. Stop before the signpost.
2. Give right-of-way to vehicle traffic in the roundabout.
3. Correct answer: Prepare to stop your vehicle at the nearest junction.. Stopping at the junction is obligatory
4. Prepare to stop the vehicle in about 300 meters.

WhyA triangle with an octagon means there is a Stop sign at the nearest junction. Prepare to stop there, not right at this sign.