```

import React, { useState } from "react";
import ReactDOM from "react-dom";

function App() {
  const [count, setCount] = useState(0);

  function handleAlertClick() {
    return (setTimeout(() => {
      alert("You clicked on: " + count);
    }, 3000))
  }

  return (
    <div>
      <p>You clicked {count} times</p>
      <button onClick={() => setCount(count + 1)}>Click me</button>
      <button onClick={handleAlertClick}>Show alert</button>
    </div>
  );
}

```

I just want to know if this works the way that I think it does, or if there is a better explanation!

Whenever the `setState` method is called, the state gets a new reference. This means the original state doesn't have a new value, but instead creates a new state with a new value. When we click on the second button, the event handler function captures the reference of the original state.

Even if we click the first button many times, when the alert is displayed it will show the value of the state that the event handler captured its reference.

Is this correct?