Assertion-Reason questions like this need two separate checks before we even compare A and R to each other: first, is each statement actually backed by the passage on its own; second, if both are backed, does R genuinely cause or explain A.
Since both A and R check out against the passage, but R fails to explain why A happened, this matches the option for both A and R being based on the passage while R is not the correct explanation of A.
Let's summarize:
So the correct choice is that both A and R are true from the passage, but R does not correctly explain A.