Question wise reply is
Q1) Can a mortgage exist between 2 individuals ?
Ans: Yes, if value of the property under morgage is within the loan amount.
Q 2) Can agricultural land be mortgaged between 2 individuals (CAn it be used as a collateral)
Ans: Yes, collateral charge can be created on the agricultural property.
Q 3) Should the value of the money borrowed always be more than the mortgaged property? What happens if the value of the money borrowed is much less than the mortgaged property.
Ans: The money lender (financier) would (shall) not accept to take risk of money lended.
Prima facie it is an examination hall question paper, isn't it?