Assertion (A) The basic planning process always involves setting objectives, forecasting and assessing basic planning 'premises' or assumptions, determining alternatives causes of actions, evaluating which options are best and then choosing and implementing plan. Reason (R) There is usually a hierarchical aspect to managerial planning. Top management approves a long-term or strategic plan. Then each department creates its own budgets and other plans to fit and to contribute to company's long term plan.

The correct answer is: C. (A) and (R) both are right and (R) explains (A).

Assertion (A) is a correct statement of the basic planning process. It involves setting objectives, forecasting and assessing basic planning 'premises' or assumptions, determining alternatives causes of actions, evaluating which options are best and then choosing and implementing plan.

Reason (R) is also a correct statement. It describes the hierarchical aspect of managerial planning, where top management approves a long-term or strategic plan, and then each department creates its own budgets and other plans to fit and to contribute to company's long term plan.

Reason (R) does indeed explain Assertion (A). The hierarchical aspect of managerial planning is a key part of the basic planning process. Top management's long-term or strategic plan sets the overall direction for the company, and then each department's plans must be consistent with that plan. This ensures that the company's resources are being used in the most effective way to achieve its goals.

In conclusion, both Assertion (A) and Reason (R) are correct, and Reason (R) does indeed explain Assertion (A).