WorksheetsGovernment Budget
Total questions: 20
Worksheet time: 11mins
A Govt. Budget is prepared for a fiscal year running from :
1st January to 31st December
1st April to 31st December
1st April to 31st March
1st January to 30th April
Direct tax is called direct because it is collected directly from :
The producers on goods produced
the sellers on goods sold
The buyers of goods
The income earners
Which of the following is an indirect tax?
Corporation tax
Value Added tax
Income tax
Wealth tax
Pension payment is an example of :
Plan expenditure
Revenue expenditure
Capital expenditure
Non-plan expenditure
Subsidies are an example of :
Revenue expenditure
Capital expenditure
Plan expenditure
None of them
Which out of the following is a non-developmental expenditure?
Scientific research
Social Welfare
Administration
None of them
Repayment of loan is an example of :
Capital expenditure
Non plan expenditure
Revenue expenditure
Plan expenditure
Interest payment are subtracted from which deficit to arrive at Primary Deficit :
Revenue Deficit
Capital deficit
Fiscal Deficit
None of these
Borrowing in government budget is :
Revenue Deficit
Fiscal deficit
Primary Deficit
Deficit in taxes
Which of the following statement is true?
Loan from IMF is a Revenue Receipt
Higher revenue deficit necessarily leads to higher fiscal deficit
Borrowing by a government represents a situation of fiscal deficit.
Revenue deficit is the excess of capital receipts over the revenue receipts
While financing a deficit, under which measure government can print more currency :
Deficit financing
Disinvestment
By issuing bonds
none of them
Identify which of the following statement is true?
Fiscal deficit is difference between planned revenue expenditure and planned revenue receipts.
Fiscal deficit is difference between total planned expenditure and total planned receipts
Primary deficit is the difference between total planned receipt and interest payment
Fiscal deficit is the sum of primary deficit and interest payment
The receipts which neither create any liability nor lead to any reduction in assets are called
revenue receipts
capital receipts
both (a) and (b)
none of these
In the government budget, if revenue receipts = ₹100 lakh, capital receipt = ₹50 lakh and revenue deficit = ₹25 lakh, how much is the revenue expenditure?
75 lakh
150 lakh
125 lakh
50 lakh
The government budget has a revenue deficit. This gets financed by:
A. Borrowings B. Disinvestment C. Tax revenue D. Indirect Tax
A and D
C and D
A and B
C and D
In government, budget primary deficit is ₹10000 crore, interest payment is ₹5000 crore, then fiscal deficit is ₹ _______ crore.
15000
16000
18000
5000
Construction of flyover is a capital expenditure of the government.
True
False
Capital expenditure increases the liabilities of the government.
True
False
Primary deficit indicates the government's inability to meet its regular and recurring expenditure.
True
False
Which of the following is not true for fiscal deficit? A fiscal deficit:
represents the borrowings of the government
is the difference between total expenditure and total receipts of the government
is the difference between total expenditure and total receipts other than borrowings
increase future liability of the government
