Step 1: Understand the characteristics of each joint type.
\begin{itemize}
\item Hinge joint: Allows movement primarily in one plane, like the hinge of a door (flexion and extension).
\item Ball and Socket joint: Allows movement in many directions (flexion, extension, abduction, adduction, rotation, circumduction), providing the greatest range of motion.
\item Pivot joint: Allows rotational movement around a single axis.
\item Saddle joint: Allows movement in two planes (flexion/extension and abduction/adduction), but not rotation. It provides more movement than a hinge or condyloid joint but less than a ball-and-socket joint.
\end{itemize}
Step 2: Match each joint type from List A with its correct example from List B.
\begin{itemize}
\item A) Hinge joint:
\item III. Knee joint: The knee joint primarily allows flexion and extension, acting like a hinge.
\item Therefore, A matches with III.
\item B) Ball and Socket joint:
\item IV. Shoulder joint: The shoulder joint (glenohumeral joint) allows for extensive movement in all planes, characteristic of a ball and socket joint.
\item Therefore, B matches with IV.
\item C) Pivot joint:
\item I. Atlas-Axis joint: The joint between the atlas (C1) and axis (C2) vertebrae in the neck allows for rotation of the head (e.g., shaking head "no"). This is a classic pivot joint.
\item Therefore, C matches with I.
\item D) Saddle joint:
\item II. Thumb joint: The carpometacarpal joint of the thumb is a saddle joint, allowing for the unique opposable movement of the thumb (flexion/extension, abduction/adduction).
\item Therefore, D matches with II.
\end{itemize}
Step 3: Combine the matches and check against the given options.
A - III
B - IV
C - I
D - II
Comparing this with the options:
\begin{itemize}
\item (1) A-III, B-IV, C-I, D-II - This perfectly matches our derived combinations.
\item (2) A-V, B-II, C-III, D-IV - Incorrect.
\item (3) A-III, B-II, C-IV, D-V - Incorrect.
\item (4) A-IV, B-I, C-II, D-III - Incorrect.
\end{itemize}
The final answer is $\boxed{\text{A-III, B-IV, C-I, D-II}}$.