Given below are two statements, one labelled as Assertion (A) and the other labelled as Reason (R): Assertion (A): In case of shares issued on Pro–rata basis, excess money received at the time of application can be utilised till allotment only. Reason (R): Company has to pay interest on calls in advance @12% p.a. for amount adjusted towards calls (if any). In the context of the above two statements, which of the following is correct? Codes:
(A) Both (A) and (R) are true, but (R) is not the explanation of working capital management.
(B) Both(A) and (R) are true and (R) is a correct explanation of (A).
(C) Both (A) and (R) are false.
(D) (A) is false, but (R) is true.
(B) Both(A) and (R) are true and (R) is a correct explanation of (A).