Question

Match List-I with List-II:

Choose the correct answer from the options given below:

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

Hint:

Loan types:Self-liquidating = short-term repayable by income; Unsecured = trust-based; Chattel = movable assets; Key = stored produce.

Answer 1

The Correct Option is A

Self-liquidating loan (III): Designed to generate income that can repay the entire loan within the same season or financial year. Common in agriculture for short-term crops.
Unsecured loan (I): Based on the borrower's creditworthiness, with no collateral required. Typically issued on trust and financial history.
Chattel loan (IV): A loan secured by movable property (chattel), such as machinery or livestock, which serves as collateral.
Key loan (II): A type of loan issued against the control of produce (like food grains) stored under the lending institution, often used in agricultural marketing.

Answer 2

Elimination approach:
Anchor on the loan type with the least ambiguity: a Chattel loan is, by definition, secured against movable property such as livestock or machinery, so C must pair with (IV). This is true in options (1) and (4) only; options (2) and (3), which assign C to (III) and (I) respectively, are eliminated.
Between the two survivors, check A. A self-liquidating loan is structured so that the income it finances repays the loan within the same season, matching description (III). Option (1) assigns A - (III), while option (4) assigns A - (II), so option (4) is eliminated.
This confirms (A) - (III), (B) - (I), (C) - (IV), (D) - (II), which is option (1).