Step 1: Concept
The Drugs and Cosmetics Act of 1940 contains various schedules that define specific regulatory requirements.
Step 2: Meaning
Schedules to the Act (not the Rules) provide the broad framework for drug standards in the country.
Step 3: Analysis
The First Schedule lists authoritative books of indigenous systems (Ayurvedic, Unani, etc.). The Second Schedule lays down the standards that must be complied with for drugs that are imported, manufactured, or sold in India.
Step 4: Conclusion
Therefore, the Second Schedule specifically deals with compliance standards for drugs.
Final Answer: (A)