Free Test Budgeting – Civil S...

Q1: What is the main objective of the Union Budget?

A. Control inflation B. Allocate government resources C. Set monetary policy D. Regulate stock market

Q2: Who presents the Union Budget in India?

A. Prime Minister B. Finance Minister C. President D. RBI Governor

Q3: What is "Fiscal Deficit"?

A. Difference between total revenue and total expenditure B. Difference between total expenditure and total revenue excluding borrowings C. Total revenue from taxes D. Total expenditure on welfare schemes

Q4: What is "Revenue Deficit"?

A. Excess of revenue expenditure over revenue receipts B. Difference between capital expenditure and capital receipts C. Total government borrowings D. Total tax revenue

Q5: Which of the following is NOT a component of the Union Budget?

A. Revenue Budget B. Capital Budget C. Monetary Policy D. Fiscal Policy

Q6: Which document accompanies the Union Budget?

A. Economic Survey B. Finance Bill C. Annual Report D. Union List

Q7: What is a “Zero-based Budget”?

A. Budget starting from zero and justifying all expenditures B. Budget with zero deficit C. Budget with no tax changes D. Budget for zero growth

Q8: What is “Appropriation Bill”?

A. Bill authorizing government expenditure B. Bill related to taxation C. Bill related to banking D. Bill related to agriculture

Q9: Which of the following is an example of non-tax revenue?

A. Income tax B. Excise duty C. Dividends from public sector enterprises D. Corporate tax

Q10: Which sector receives the highest allocation in the Union Budget?

A. Agriculture B. Defence C. Education D. Social Welfare

Q11: What is the role of the Finance Commission?

A. Recommend distribution of tax revenues between Union and States B. Prepare Union Budget C. Manage public sector banks D. Control inflation

Q12: What is “Capital Budget”?

A. Budget related to revenue receipts and expenditure B. Budget related to loans and investments C. Budget related to tax revenue D. Budget related to subsidies

Q13: Which of the following is a direct tax?

A. Customs duty B. Excise duty C. Income tax D. Service tax

Q14: What is “Tax Buoyancy”?

A. Change in tax revenue due to changes in tax rates and economic growth B. Total tax collected by government C. Tax on luxury goods D. Tax on imports

Q15: Which of the following is a fiscal policy tool?

A. Open market operations B. Cash Reserve Ratio C. Taxation D. Repo rate

Q16: What is the significance of the “Fiscal Responsibility and Budget Management Act”?

A. Limits government borrowing B. Controls inflation C. Regulates stock markets D. Manages foreign trade

Q17: Which of the following is an indirect tax?

A. Income tax B. Corporate tax C. Goods and Services Tax (GST) D. Wealth tax

Q18: What is the “Contingency Fund of India”?

A. Emergency fund for unforeseen expenditures B. Fund for foreign investments C. Fund for agriculture subsidies D. Fund for defence equipment

Q19: Who audits the government accounts?

A. RBI B. Finance Commission C. Comptroller and Auditor General (CAG) D. Ministry of Finance

Q20: What is the “Fiscal Deficit to GDP ratio”?

A. Ratio of fiscal deficit to total government expenditure B. Ratio of fiscal deficit to GDP C. Ratio of tax revenue to GDP D. Ratio of revenue deficit to GDP

Quiz for Budgeting