Question

Match List-I with List-II.

List-I	List-II
(A) Nominal Capital	(I) Offered to the public
(B) Reserve Capital	(II) Called up capital minus calls in arrears
(C) Paid up Capital	(III) Memorandum of Association
(D) Issued Capital	(IV) Called only at the time of winding up

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

Answer 1

The Correct Option is D

Let's match each term with the correct explanation based on the nature of capital in a company:

• Nominal Capital (A):
  Nominal capital, also known as authorized capital, is the amount of capital a company is authorized to raise according to the Memorandum of Association. This is the maximum capital that the company can raise.
  Therefore, (A) matches with (III) Memorandum of Association.
• Reserve Capital (B):
  Reserve capital refers to that portion of issued capital which is not callable by the company except when the company is being wound up. It is only called up during winding up.
  Hence, (B) matches with (IV) Called only at the time of winding up.
• Paid-up Capital (C):
  Paid-up capital is the portion of the issued capital that has been paid by the shareholders, excluding calls in arrears.
  Therefore, (C) matches with (I) Offered to the public.
• Issued Capital (D):
  Issued capital refers to the amount of capital that the company has actually raised from shareholders, which is called-up capital minus calls in arrears. Therefore, (D) matches with (II) Called up capital minus calls in arrears.

Thus, the correct matching is (D): (A)-(III), (B)-(IV), (C)-(I), (D)-(II).

Answer 2

Nominal Capital is matched with Memorandum of Association (A)-(III), as it is the maximum amount of capital that the company is authorized to raise.
Reserve Capital is matched with Called only at the time of winding up (B)-(IV), since it refers to a portion of the uncalled capital that can only be called up during winding up. 
Paid up Capital is matched with Offered to the public (C)-(I), as it refers to the amount of capital actually received from shareholders.
Issued Capital is matched with Called up capital minus calls in arrears (D)-(II), representing the amount of issued capital less any unpaid amounts.