The ADD statement is used to add the new field value to the record only inside the FOR EACH RECORD loop statement.

The ADD statement in Model 204 can only be used to add new field values to a record within the FOR EACH RECORD loop. This restriction ensures that additions are properly context-aware and associated with the correct record. Option A (True) correctly states this limitation. Option B (False) is incorrect because the ADD statement cannot be used outside the loop context.