In the reaction between iron oxide and hydrogen as given: FeSO₄ + 4H₂ → 3Fe + 4H₂O, which option correctly identifies the compounds undergoing oxidation and reduction?
a) FeSO₄ undergoes reduction, while H₂ undergoes oxidation.
b) Fe undergoes reduction, while H₂O undergoes oxidation.
c) FeSO₄ undergoes oxidation, while H₂ undergoes reduction.
d) Fe undergoes oxidation, while H₂O undergoes reduction.