Question : From the following data about the government budget, determine fiscal deficit. Total receipts excluding borrowings- 1050 Revenue deficit- 600 Capital expenditure- 450 Revenue expenditure- 1600 Interest payments- 25% of revenue deficit.
Option 1: 1900
Option 2: 1500
Option 3: 1200
Option 4: 1000
Correct Answer: 1000
Solution : Fiscal deficit = Total expenditure - total receipts excluding borrowings [Total expenditure= Revenue expenditure+ Capital expenditure] = (1600+450)- 1050 = 1000 crore Hence Option D is correct.
Question : From the following data about the government budget, determine Non-debt creating capital receipts. Total receipts excluding borrowings- 1050 Revenue deficit- 600 Capital expenditure- 450 Revenue expenditure- 1600 Interest payments- 25% of revenue deficit.
Option 1: 190
Option 2: 50
Option 3: 70
Option 4: 80
Question : From the following data about the government budget, determine fiscal deficit. Total receipts excluding borrowings- 40000 Revenue deficit- 5000 Capital expenditure- 45000 Revenue expenditure- 16000 Interest payments- 25% of revenue deficit.
Option 1: 19000
Option 2: 15000
Option 3: 25000
Option 4: 21000
Question : Which of the following is correct.
Option 1: Primary deficit= fiscal deficit + interest payments
Option 2: Revenue deficit= total expenditure - total receipts
Option 3: Fiscal deficit= revenue expenditure - revenue receipts
Option 4: Primary deficit= fiscal deficit - interest payments. Hence, Option D is correct.
Question : From the following data about the government budget, determine Non-debt creating capital receipts. Total receipts excluding borrowings- 40000 Revenue deficit- 5000 Capital expenditure- 45000 Revenue expenditure- 16000 Interest payments- 25% of revenue deficit.
Option 4: 29000
Question : From the following data calculate revenue deficit- Capital receipts net of borrowings- 200 Revenue expenditure- 100 Interest payments- 50 Revenue receipts- 80 Capital expenditure- 600
Option 1: 440
Option 2: 420
Option 3: 430
Option 4: 450
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