The correct answer is Option(2) i.e. The Bill does not lapse. Explanation: Suppose the legislative assembly dissolves, a bill has been already passed by the legislative assembly but is returned for reconsideration by the Governor or President at the time of dissolution, then the bill does not lapse. BILL: A bill is proposed legislation under consideration by a legislature. A bill does not become law until it is passed by the legislature and, in most cases, approved by the executive. Once a bill has been enacted into law, it is called an act of the legislature, or a statute. Types of Bill- There are four types of bills in our Constitution: Ordinary bill- Ordinary bill is a bill that can be introduced in either of the houses by any minister or member of the house. Money bill- Money Bill refers to a bill (draft law) introduced in the Lower Chamber of Indian Parliament(Lok Sabha) which generally covers the issue of receipt and spending of money, such as tax laws, laws governing borrowing, and expenditure of the Government. Finance bill- Finance Bill is a secret bill introduced every year in Lok Sabha(Lower chamber of the Parliament) immediately after the presentation of the Union Budget, to give effect to the financial proposals of the Government of India. Constitutional amendment bills- Bills seeking to amend all other provisions of the Constitution including those enumerated in the provision to article 368(2), are called by the title 'Constitution Amendment Bills'. These Bills can be introduced in the House of Parliament.