Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Government Budget and Economy

Question:

Which of the following will be included in the Revenue Budget ?

(A) Fees and Fines

(B) Loan taken by Central Govt.

(C) Escheats

(D) Disinvestment

(E) Interest paid on loan taken by Central Govt.

Choose the correct answer from the options given below >

Options:

(A), (B), (C), (E) Only

(C) Only

(A), (C), (E) Only

(E) Only

Correct Answer:

(A), (C), (E) Only

Explanation:

The correct answer is option (3) : (A), (C), (E) Only

The Revenue Budget typically includes items that are related to day-to-day government operations and current expenses. Here's how each of the options is categorized :

(A) Fees and Fines - These are considered revenue items and are included in the Revenue Budget.

(B) Loan taken by Central Govt- This represents a capital receipt and is not part of the Revenue Budget.

(C) Escheats - They are a part of non tax revenue that refers to as the claim of the government on the property of some deceased person who does not have any legal heir or will for the property left behind. This is a type of revenue receipt for the government.

(D) Disinvestment - This usually represents the sale of government assets or equity holdings in public sector enterprises and is typically categorized as a capital receipt, not part of the Revenue Budget.

(E) Interest paid on a loan taken by the Central Govt. - This is a revenue expenditure item and is part of the Revenue Budget.