1. Which of the following is the most likely to cause current account deficit in India?
I. Reduced excise duties on Sports Utility Vehicles
II. Reduced duties on Gold
III. Ban on export of Onions
(a) Both I & II
(b) Both II & III
(c) Only I & III
(d) I, II & III
2. Examine the following statement (s) in the context of Zero Based Budgeting (ZBB).
I. It was first taken up in India in the Union Budget 1987
II. It is based on prioritizing all governing expenditure
III. There is a cost benefit analysis of all schemes and the most important ones are kept alive
if they are working well.
Which of the following statement (s) qiven above are correct?
(a) I and II
(b) I and III
(c) II and III
(d) All of these
3. What is the difference between ‘vote-on account’ and ‘interim budget’? I. The provision of
a vote-on-account is used by a regular government, while interim budget is provision used
by a caretaker government.
II. A vote-on-account only deals with the expenditure in government’s budget while an
interim budget include both expenditure and receipts
Which of the following statement (s) given above are correct?
(a) Only I
(b) Only II
(c) Both I and II
(d) Neither I nor II
4. With reference to Indian Public Finance, consider the following statements (s).
I. Disbursement from Public Account of India are subject to the Vote of Parliament.
II. The Indian Constitution provides for the establishment of a Consolidated Fund, a Public
Account and a Contingency Fund for each State.
III. Appropriations and disbursements under the Railways Budget are subject to the same
form of parliamentary control as other appropriations and disbursement.
Which of these statements are correct?
(a) I and II
(b) II and III
(c) I and III
(d) I, II and III
5. When annual budget is passed by the Lok Sabha .................
(a) the Budget is modified and presented again
(b) the Budget is referred to the Rajya Sabha for suggestions
(c) the Union Finance Minister is asked to resign
(d) the Prime Minister submits the resignation of Council of Ministers
6. Arrange the following stages in the enactment of budget in proper order:
I. General discussion
II. Appropriation Bill
III. Finance Bill
IV. Voting of the demands for grant
V. Presentation to legislature
(a) I, II, III, IV, V
(b) V, I, II, III
(c) V, I, IV, III, II
(d) V, I, III IV, II
7. Which of the following documents are presented to the legislature along with the budget?
I. An explanatory memorandum on the budget
II. A summary of demands for grants
III. An Appropriation Bill
IV. A Finance Bill
V. The economic survey Code:
(a) I, III and V
(b) I, II and III
(c) II, III and V
(d) I, II, III and IV
8. The budget was formally introduced in India in:
9. The correct statements about Public Account of India are:
I. The public account is the fund to which all public moneys received by or on behalf of the
government are credited.
II. No legislative appropriation is required for payments from the Public Account of India.
III. Legislative appropriation is required for payments from the Public Account of India.
IV. All public moneys, other than those credited to the Consolidated Fund of India, which are
received by or on behalf of the government are credited to the Public Account of India.
V. It is operated by executive action.
(a) I, II and V
(b) I, III and V
(c) II, IV and V
(d) II and IV
10. Which of the following statements are incorrect?
I. Appropriation Bill cannot be amended while the Finance Bill can be amended.
ii. Finance Bill cannot be amended while Appropriation Bill can be amended.
III. Same procedure governs both the Appropriation Bill and the Finance Bill.
IV. Appropriation Bill and the Finance Bill are governed by different procedures.
V. Appropriation bill cannot be rejected by the Rajya Sabha while Finance Bill can be
rejected by it.
(a) II and IV
(b) II, IV and V
(c) I and III
(d) I, III and V
11. Which of the following social campaign of the Government of India that aims to generate
awareness and improve the efficiency of welfare services intended for girls?
(a) Beti Bachao, Beti Padhao
(b) Gender sensitisation
(d) Swachchha Bharat Mission
12. Which of the following Schemes has Objective to skill 1 crore youth in the next 3 years?
(a) Startup, Standup
(b) PM Kaushal Vikas Yojna
(d) Deen Dayal Upadhyaay Grameen Kaushalaya Yojna
13. Which Cess is levied 0.5 per cent on all services?
(a) Swachh Bharat
(b) Krishi Kalyan
(c) Kaushal Vikas
(d) Both A & B
14. Which of the following items become costlier after the Budget 2018-19?
(d) All of the above
15. ................. is the difference between total receipts and total expenditure:
(a) Fiscal Deficit
(b) Budget Deficit
(c) Revenue Deficit
(d) Capital Deficit
16. Revenue deficit in India is:
17. If borrowing and other liabilities are added to the budget deficits we get
(a) Fiscal Deficit
(b) Primary Deficit
(c) Capital Deficit
(d) Revenue Deficit
18. The most important sources of plan finance to cover up gap between intended
expenditure and available resource is in:
(a) Direct taxes
(b) Indirect taxes
(c) Deficit financing
(a) Foreign aid
19. Fiscal Policy refers to a policy of:
(a) Money lenders
(b) Government Finance
(c) Commercial banks
(d) Monetary authority
20. Deficit Financing means :
(a) Public expenditure in excess of public revenue
(b) Public revenue in excess of public expenditure
(c) Both (a) & (b)
21. ................. refers to public revenue, expenditure and allied matters.
(a) Fiscal policy
(b) Monetary policy
(c) Economic policy
(d) None of these.
22. As per Union Budget 2018-19, the finance minister has pegged the fiscal deficit for 2018-
19 at ................. of GDP.
23. As per the budget 2018-19, a dedicated micro irrigation fund will be set up by NABARD
to achieve the goal of ‘Pre Prop More Crop' and will have an initial allocation of
(a) Rs 12,000 crore
(b) Rs 30,000 crore
(c) Rs 20,000 crore
(d) Rs 5,000 crore
24. Which national agency will be scrapped in next fiscal, as per the budget 2018-19?
(a) Foreign Investment Promotion Board
(b) Securities Exchange Board of India
(c) NITI Aayog
(d) None of the above
25. Agriculture will grow by what percent in 2018-19 as per budget 2018?
26. What is the percentage of FDI through automatic route at present according to the
1 (d) 2 (a) 3 (c) 4 (b) 5 (d)
6 (b) 7 (d) 8 (a) 9 (c) 10 (b) 11 (a)
12 (b) 13 (d) 14 (d) 15 (b) 16 (b) 17 (a)
18 (c) 19 (b) 20 (a) 21 (a) 22 (b) 23 (d)
24 (a) 25 (b) 26 (d)