Assertion-Reason check method: Test Assertion (A) alone, field studies consistently show mulched soils retain more moisture than bare soils, so (A) is true.
Test Reason (R) alone, a layer of organic mulch (straw, leaves, compost) physically intercepts incoming solar radiation before it reaches the soil surface, keeping the soil cooler and slowing the rate of evaporation, so (R) is also true.
Check the causal link, does blocking radiation and reducing evaporation (R) explain why moisture is conserved (A)? Yes, less evaporative water loss is exactly why moisture is retained.
Both statements hold and the causal chain is direct, so the first option is correct.