Question

Match List-I with List-II

List-I	List-II
(A) Debentures issued for consideration other than cash	(I) A company issues debentures at a price lower than their face value.
(B) Debentures issued as Collateral Security	(II) A company purchases assets from vendors and make payment by debentures
(C) Debentures issued for cash	(III) The company may issue its own debentures to the lenders in addition to some other assets already pledged
(D) Debentures issued at discount	(IV) A company invite the public to apply for debentures by issue of prospectus

Choose the correct answer from the options given below:

• (A) - (I), (B) - (II), (C) - (III), (D) - (IV)
• (A) - (IV), (B) - (II), (C) - (III), (D) - (I)
• (A) - (II), (B) - (III), (C) - (IV), (D) - (I)
• (A) - (III), (B) - (IV), (C) - (II), (D) - (I)

Hint:

Match by meaning: non-cash means assets bought, collateral means extra security, cash means prospectus, discount means below face value.

Answer 1

The Correct Option is C

Step 1: Start with the easiest pair:
Debentures issued at discount can only mean a price lower than face value. That is the meaning in row (I). So D pairs with I. Options (2), (3) and (4) all have D with I, while option (1) has D with IV, so option (1) is out.

Step 2: Use the cash clue:
Debentures for cash come from a public offer through a prospectus. That is statement (IV). So C pairs with IV. Option (2) has C with III and option (4) has C with II, so both are out.

Step 3: Check what is left:
Only option (3) remains. Check its other two pairs. A with II: assets bought from vendors and paid for by debentures is a case of consideration other than cash. B with III: extra debentures given as backup to lenders is collateral security. Both are right.

Final Answer:
Option (3). \[ \boxed{\text{A-II, B-III, C-IV, D-I}} \]