Give binary values to my arduino inputs

I just don't get how it works

I could understand having buttons on both sides and then the user must press a button in the Question column and the matching button in the Answer column and the arduino knows if it's good or wrong because somehow those two buttons had been connected in series for example through the cassette


each cassette can join the buttons in a specific way

but I don't get the idea of buttons on one side and leds on the other side.