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Which of the following is a source of capital receipts?

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Question

Which of the following is a source of capital receipts?

Options

  • Foreign donation

  • Disinvestment

  • Dividends

  • Indirect taxes

MCQ
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Solution

Disinvestment

Explanation:

Disinvestment proceeds are capital receipts because selling equity in PSEs reduces the government’s assets. Foreign donations, dividends and indirect taxes are revenue receipts.

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Chapter 17: Government Budget - TEST YOURSELF QUESTIONS [Page 369]

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Frank Economics [English] Class 12 ISC
Chapter 17 Government Budget
TEST YOURSELF QUESTIONS | Q 5. | Page 369
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