Correct Answer: Both assertion and reason are true, and the reason is the correct explanation of the assertion.

Solution : The correct answer is (a) Both assertion and reason are true, and the reason is the correct explanation of the assertion.

Assertion is true. A functional organizational structure groups employees based on their specialized skills or functions, which can enhance and leverage those skills effectively. Employees with similar expertise are placed together, allowing for the development and utilization of specialized knowledge and skills within that functional area.

Reason is true and directly explains how a functional structure enhances specialized skills. A functional structure organizes employees based on their similar functions, roles, or areas of expertise. This grouping enables them to focus on specific tasks and responsibilities related to their expertise, leading to the enhancement of specialized skills.

Therefore, both the assertion and the reason are true, and the reason provides the correct explanation for the assertion.