Match List-I with List-II.

Choose the correct answer from the options given below:

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

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

A) Capital Reserve → (III) Reserve and Surplus.
Capital Reserve is a part of shareholders' equity, but it is not distributed as dividends and is created from capital transactions (e.g., revaluation surplus, profit from sale of fixed assets). It falls under the broader category of Reserve and Surplus, which represents retained earnings or reserves accumulated from the business operations.

(B) Call in advance → (IV) Other Current Liabilities.
Call in advance refers to money received by a company from its shareholders for shares that have not yet been called up. It is treated as a liability until the shares are officially called. This is classified under Other Current Liabilities as it is a short-term liability arising from shareholders' payments that are pending.

(C) Licence and Franchise → (II) Intangible Fixed Assets.
Licence and Franchise are intangible assets that a company may acquire for operating its business, e.g., patents, trademarks, or exclusive rights. These types of assets are recorded under Intangible Fixed Assets, as they represent non-physical long-term assets that contribute to the company’s operations.

(D) Marketable Securities → (I) Cash and Cash Equivalent.
Marketable Securities refer to liquid financial instruments that can be quickly converted into cash, such as stocks, bonds, or other short-term investments. These are classified as Cash and Cash Equivalents because they are highly liquid and readily convertible into cash with minimal risk of value changes.