Select the correct option based on statements below:

Assertion (A): The presence of a nitro group at ortho or para position increases the reactivity of haloarenes towards nucleophilic substitution.
Reason (R): The nitro group, being an electron-withdrawing group, decreases the electron density over the benzene ring.
 
1. Both (A) and (R) are True and (R) is the correct explanation of (A).
2. Both (A) and (R) are True but (R) is not the correct explanation of (A).
3. (A) is True but (R) is False.
4. (A) is False but (R) is True.
Hint: -NO2 is an electron-withdrawing group

The presence of a nitro group at ortho or para position increases the reactivity of haloarenes towards nucleophilic substitution reaction because —NO2, group, being an electron-withdrawing group decreases the electron density over the benzene ring. This makes the benzene ring a good substrate of nucleophilic substitution reaction.