The correct answer would be the first option. A collective subject is a noun (functioning as the subject) that describes a group made of many parts. For example, the words "team" which means a group of people playing. Another one is "pack" used in a pack of wolves, which means a group of wolves.
So that the reader understand how they lived.
Both humor and irony are used in satire to make fun of corporations, people, society, etc.