Statement: Nitrogen and hydrogen combine together to form ammonia and heat
Conclusion: It is a combination and an exothermic reaction.
Both the statement and conclusion are correct.
In the reaction, bonds between two atoms of nitrogen molecule and atoms of hydrogen molecules are broken and new bonds for ammonia are formed. During this process, heat energy is liberated to the surroundings. Hence this reaction is exothermic. Moreover, as the only product is formed by the combination of two reactants so it is a combination reaction.
N2(g) + 3H2(g) →2NH3(g) + heat