Which of the following is/are correctly matched? 1. Borrowings by the governmen

Question

Which of the following is/are correctly matched?

\begin{matrix} 1. Borrowings by the government & a. Capital Receipt 2. Recovery of loans & b. Revenue Receipt 3. Customs duty & c. Capital Expenditure 4. Construction of roads & d. Revenue Expenditure \end{matrix}

Options:

A . 1 - a, 2 - a, 3 - b, 4 - a

B . 1 - a, 2 - a, 3 - b, 4 - c

C . 1 - d, 2 - c, 3 - b, 4 - d

D . 1 - b, 2 - c, 3 - b, 4 - c

Answer: Option B
:
B
Out of the given options, borrowings and recovery of loans impact the balance sheet and are capital receipts. Customs duty is a revenue receipt and construction of roads is a capital expenditure.

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