Revenue Expenditure= 22,250

Capital Expenditure= 28,000

Revenue Receipts=17,750

Capital receipts (Net of Borrowings) =20,000

Borrowings=12,500

Interest Payment= 5,000

What will be the fiscal deficit?

12,500

Fiscal deficit is calculated by deducting total receipts( excluding borrowing) from total expenditure.

Fiscal Deficit= Revenue Expenditure+ Capital Expenditure-Revenue Receipts- Capital Receipts (Net of Borrowings)

                  = 22,250+28,000-17,750-20,000

                  =12,500