Match List – I with List – II. List - I List - II (A) Dividend (I) De…

The correct answer is Option (1) → (A)-(IV), (B)-(III), (C)-(I), (D)-(II)

Each term in List I belongs to the source or entity it is paid or earned on.

(A) Dividend — this matches (IV) Equity shares. Dividend is the return paid to shareholders out of profits; equity shareholders get it after preference dividend.

(B) Surplus — this matches (III) Not for profit organisation. The excess of income over expenditure of a not-for-profit organisation is called surplus and is added to its capital fund.

(C) Interest — this matches (I) Debentures. Debentures are borrowed funds; interest on them is a charge against profit, payable whether or not there is a profit.

(D) Premium on redemption of debenture — this matches (II) Loss on issue of debenture. When debentures are issued at par but redeemable at a premium, the premium payable later is debited to Loss on Issue of Debentures Account at the time of issue.

Note: This question is from the pre-rationalised NCERT book for item (B) (Surplus - Not for profit organisation). The topic is not there in the latest NCERT book (2026-27), and it is also out of the CUET 2026 syllabus.