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Revenue expenditure does not include ______. - Economics

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Question

Revenue expenditure does not include ______.

Options

  • salaries and pensions

  • subsidies

  • investment expenditure by the public sector undertakings

  • interest on government loans

MCQ
Fill in the Blanks
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Solution

Revenue expenditure does not include investment expenditure by the public sector undertakings.

Explanation:

  • Investment expenditure by public sector undertakings is capital expenditure, not revenue expenditure.
  • It is related to creation of assets like new factories, infrastructure, etc.
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Chapter 17: Government Budget - TEST YOURSELF QUESTIONS [Page 343]

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Frank Economics [English] Class 12 ISC
Chapter 17 Government Budget
TEST YOURSELF QUESTIONS | Q 4. | Page 343
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