मराठी

Which one of these is a revenue expenditure? - Economics

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प्रश्न

Which one of these is a revenue expenditure?

पर्याय

  • Purchase of shares

  • Loans advanced

  • Subsidies

  • Expenditure on acquisition of land

MCQ
रिकाम्या जागा भरा
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उत्तर

Subsidies

Explanation:-

Expenditure by the government which does not create any assets for the government and does not reduce the liability of the government is called revenue expenditure. Hence, subsidies are treated as revenue expenditure as they do not reduce the liability of the government and do not add to the assets of the government

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संबंधित प्रश्‍न

What is revenue expenditure?


Distinguish between revenue expenditure and capital expenditure in Government budget. Give an example of each.


What is capital expenditure?


Is the following revenue expenditure or capital expenditure in the context of government budget? Give reason.

Expenditure on purchasing computers


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National Income = 1000
Marginal propensity to save = 0.20
Autonomous consumption expenditure = 100


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S. No. Content Rs (in crores)
1. Revenue Expenditure 100
2. Capital Receipts 40
3. Net Borrowings 38
4. Net Interest Payments 27
5. Tax Revenue 50
6. Non-tax Revenue 15

What is the revenue deficit?


S. No. Content Rs (in crores)
1. Revenue Expenditure 100
2. Capital Receipts 40
3. Net Borrowings 38
4. Net Interest Payments 27
5. Tax Revenue 50
6. Non-tax Revenue 15

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National Income = Rs 1,000

Marginal Propensity to Save = 0.20

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Which one of the following is not a capital expenditure?


Identify the correctly matched pair of the items in Column A to those in Column B:

Column A Column B
1. Revenue Expenditure (a) Does not cause any reduction in government liability
2. Capital Expenditure (b) Which creates corresponding liability for the government
3. Revenue Receipts (c) Which causes a reduction in assets of the government
4. capital Receipts (d) Causes reduction in government liability.

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