A circular loop is placed in the plane of the paper in a magnetic field $\vec B$. A current is induced in the loop in an anticlockwise direction. This is because the magnetic field $\vec B$ is

outward and decreasing with time

The correct answer is Option 3: outward and decreasing with time

Anticlockwise current (as seen by the observer) produces a magnetic field out of the plane of the paper (outward), according to the right-hand rule. By Lenz’s Law, the induced current always opposes the change in magnetic flux. So, if the induced field is outward, it must be opposing an increase in inward flux OR opposing a decrease in outward flux.

Now check options:

• Option 1: parallel to the plane of the loop and increasing with time- In this case, the magnetic field has no component perpendicular to the loop, so no magnetic flux passes through the loop. Since flux = 0, there is no change in flux, hence no induced current. But the question clearly says an anticlockwise current is induced, so Option (1) cannot be correct.

• Option 2 (Inward and decreasing): If an inward field decreases, the loop would create an inward field to help it. This would cause a clockwise current. (Incorrect)

• Option 3 (Outward and decreasing): This matches Scenario B. If the outward field is decreasing, the loop creates an outward field to support it, resulting in an anticlockwise current. (Correct)

• Option 4 (Outward and increasing): If the outward field increases, the loop would create an inward field to oppose it, resulting in a clockwise current. (Incorrect).