Suitability of different approaches of factory method pattern

Say I need car object. Could you please tell about the scenarios in which one approach would be better than the other?

Method#1

CreateCar(engineType, carBodyDesign, color, otherconfiguration1,...,otherconfigurationN)
{

    engine=MakeEngine(engineType);
    body=MakeCarBody(carBodyDesign);
    .
    .
    .
    //assemble all parts here
    return car;

}

Method#2

ModelNo has the info about engineType,carBodyDesign, etc. color, seatCoverColor, etc info are absent.

CreateCar(ModelNo, color,otherconfiguration1,...,otherconfigurationN)
{
    car=MakeCar(modelNo);
    car.configurableItem1=MakeConfigurableItem1(otherconfiguration1);
    .
    .
    .
    car.configurableItemN=MakeConfigurableItemN(otherconfigurationN);
    return car;

}