A noticeable aspect in this puzzles is the fact that there’s a circular misplacement, which implies if apple is wrongly labelled as Apple, Apple can’t be labelled as Orange, i.e., it has to be labeled as A+O. We are acquainted with the fact that everything is wrongly placed, which means A+O jar contains either Apple or Orange (but not both). The candidate picks one fruit from A+O, and let’s assume he gets an apple. He labels the jar as apple, however, jar labelled Apple can’t have A+O. Thus, the third jar left in the process should be labelled A+O. Basically, picking only one fruit helps in correctly labeling the jars.