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.

The assertion states that on-the-job training enhances human capital formation. On-the-job training refers to the acquisition of skills and knowledge through practical experience and training provided by employers within the work environment. The reason provided is that on-the-job training provides practical skills and knowledge relevant to specific job requirements. This is accurate because on-the-job training allows individuals to develop job-specific skills, gain hands-on experience, and acquire knowledge that is directly applicable to their work tasks and responsibilities. By receiving training and learning while performing their jobs, individuals enhance their capabilities, improve their performance, and expand their human capital. On-the-job training is an effective way to bridge the gap between theoretical knowledge and practical application, contributing to the overall development and growth of individuals' skills and abilities. Therefore, both the assertion and the reason are true, and the reason correctly explains the assertion.