Match List-I with List-II.

The correct option is (A)- (III), (B)- (IV), (C)- (I), (D)- (II).

Based on the table shown in the image, we can classify each item from List-I (Items of cash flow) with its corresponding classification in List-II (Type of activity) as follows:

1. (A) Purchase of tangible assets matches with (III) Investing activity:
Investing activities involve the acquisition and disposal of long-term assets and other investments that are not included in cash equivalents. When a company purchases tangible assets such as land, buildings, machinery, or equipment, it involves a cash outflow for acquiring long-term resources. Therefore, this transaction is classified under investing activities.

2. (B) Issue of shares matches with (IV) Financing activity:
Financing activities relate to transactions that alter the size and composition of the contributed equity capital and borrowings of the enterprise. When a company issues shares, it raises equity capital from investors, resulting in a cash inflow. Because this transaction affects the capital structure of the company, it is classified as a financing activity.

3. (C) Increase in current assets matches with (I) Operating activity:
Operating activities represent the primary, revenue-generating operations of a business. When preparing the cash flow statement (especially under the indirect method), net profit is adjusted for changes in working capital components (which include current assets and current liabilities). Therefore, changes such as an increase in current assets are adjusted within the operating activities section.

4. (D) Marketable securities matches with (II) Cash and cash equivalents:
Cash equivalents are short-term, highly liquid investments that can be easily converted into known amounts of cash with negligible risk of changes in value. Since marketable securities are highly liquid and short-term in nature, they are grouped under cash and cash equivalents rather than standard investing activities.