The correct equation for the reaction between Sodium (Na) and water (H2O) to produce sodium hydroxide (NaOH) and hydrogen gas (H2) is:

2Na(s) + 2H2O(l) → 2NaOH(aq) + H2(g)

In this reaction, sodium atoms (Na) donate their outermost electron to oxygen atoms (O) in water molecules (H2O), forming sodium ions (Na+) and hydroxide ions (OH-). These ions then combine to form sodium hydroxide (NaOH), while the hydrogen atoms (H) from the water molecules combine to form hydrogen gas (H2).