Concept:
Negative feedback means a part of the output is fed back to the input in opposite phase.
Step 1: Effect on frequency response.
Negative feedback improves the frequency response of an amplifier.
\[
\text{Frequency response improves}
\]
Step 2: Effect on distortion and nonlinearity.
Negative feedback reduces distortion and improves linearity of operation.
\[
\text{Nonlinear distortion decreases}
\]
Step 3: Effect on noise and gain.
Negative feedback generally reduces noise and stabilizes gain, but it does not increase transfer gain.
Step 4: Final answer.
Thus, the correct statement is that negative feedback improves frequency response and operation of the amplifier.
\[
\therefore \text{Correct Answer is (A)}
\]