Question : Which of the following is a measure of the size of the government budget?
Option 1: Fiscal deficit
Option 2: Revenue deficit
Option 3: Capital receipts
Option 4: Revenue deficit
Correct Answer: Fiscal deficit
Solution : The correct answer is (a) Fiscal deficit.
The fiscal deficit is a measure of the difference between the government's total expenditure and its total revenue in a given period. It indicates the extent to which the government needs to borrow money to finance its expenses.
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 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
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 : From the following data calculate Interest payments- Fiscal deficit- 1250 Revenue deficit- 200 Primary deficit- 1255 Revenue receipts- 300 Non-debt creating capital receipts- 2000 Capital expenditure- 3050
Option 1: 3
Option 2: 2
Option 3: 4
Option 4: 5
Question : From the following data calculate capital expenditure- Fiscal deficit- 100750 Revenue deficit- 74500 Primary deficit- 10770 Revenue receipts- 30870 Non-debt creating capital receipts- 75000
Option 1: 101250
Option 2: 101230
Option 3: 101240
Option 4: 101260
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