Read the Assertion and Reasoning and select the correct option.
Assertion (A): The channel of distribution is a network of institutions that perform a variety of interrelated and coordinated functions in the movement of goods from producers to consumers.
Reasoning (R):Most producers do not sell goods directly to the consumers. They make use of a variety of intermediaries known as middlemen. These middlemen who take title to goods or assist in transferring the title to goods as they move from the producer to the consumer.
1
(A) and (R) both are correct ; and (R) is the right explanation of (A)
2
(A) and (R) both are correct ; but (R) is not the right explanation of (A).
3
Both (A) and (R) are incorrect.
4
(A) is correct ; but (R) is incorrect.