Consider the following statements:
Assertion (A): Value added statement is an improvement over the traditional method of preparing profit and loss account.
Reason (R): Value added statement reflects the profit added by the firm and the share of various stockeholders of the business.
Now, select your answer:

A. Both A and R are true and R is the correct explanation of A

B. Both A and R are true but R is not the correct explanation of A

C. A is true but R is false

D. A is false but R is true

Answer: Option A