MCQs
Total Questions : 217
| Page 11 of 22 pages
Answer: Option A. -> Capital Receipts
Answer: (a)
Capital receipts are the funds received into the businesses that are not part of the operating activities of the establishment. Capital receipts primarily include external assistance, market loans, small savings, principal investment in bonds, and Government provident funds.
A capital receipt is a receipt that is derived from the sale or purchase of capital assets like plant and machinery, furniture, investment (long term) etc., which shall not be occurring all the time.
Answer: (a)
Capital receipts are the funds received into the businesses that are not part of the operating activities of the establishment. Capital receipts primarily include external assistance, market loans, small savings, principal investment in bonds, and Government provident funds.
A capital receipt is a receipt that is derived from the sale or purchase of capital assets like plant and machinery, furniture, investment (long term) etc., which shall not be occurring all the time.
Answer: Option D. -> Operational research
Answer: (d)
Operational research is a discipline that deals with the application of advanced analytical methods to help make better decisions.
Employing techniques from other mathematical sciences, such as mathematical modelling, statistical analysis, and mathematical optimization, operations research arrives at optimal or near-optimal solutions to complex decision-making problems.
In a nutshell, operations research (O.R.) is the discipline of applying advanced analytical methods to help make better decisions.
Answer: (d)
Operational research is a discipline that deals with the application of advanced analytical methods to help make better decisions.
Employing techniques from other mathematical sciences, such as mathematical modelling, statistical analysis, and mathematical optimization, operations research arrives at optimal or near-optimal solutions to complex decision-making problems.
In a nutshell, operations research (O.R.) is the discipline of applying advanced analytical methods to help make better decisions.
Answer: Option D. -> according to value given by producers
Answer: (d)
An ad valorem tax (Latin for "according to value") is a tax based on the value of the real estate or personal property. It is more common than a specific tax, a tax based on the quantity of an item, such as cents per kilogram, regardless of price.
It is levied on the basis of the value given by producers. So sometimes, the primary difficulty with such taxation, especially in the case of tariffs, is in establishing a satisfactory value figure.
Answer: (d)
An ad valorem tax (Latin for "according to value") is a tax based on the value of the real estate or personal property. It is more common than a specific tax, a tax based on the quantity of an item, such as cents per kilogram, regardless of price.
It is levied on the basis of the value given by producers. So sometimes, the primary difficulty with such taxation, especially in the case of tariffs, is in establishing a satisfactory value figure.
Answer: Option B. -> 3 only
Answer: (b)Budget deficit is the overall deficit i.e., the excess of total expenditure over total revenues. It includes both capital and revenue items in receipts and expenditure. Traditionally, deficit financing in Indian budgets had meant filling this gap
Answer: (b)Budget deficit is the overall deficit i.e., the excess of total expenditure over total revenues. It includes both capital and revenue items in receipts and expenditure. Traditionally, deficit financing in Indian budgets had meant filling this gap
Answer: Option C. -> They constitute the major source of government revenue.
Answer: (c)
Benjamin Franklin’s utterance, “In this world, nothing can be said to be certain, except death and taxes,” when applied in economics means that the largest amount of revenue raised by governments comes from taxation.
The proverb draws on the actual inevitability of death to highlight the difficulty in avoiding the burden of taxes.
Answer: (c)
Benjamin Franklin’s utterance, “In this world, nothing can be said to be certain, except death and taxes,” when applied in economics means that the largest amount of revenue raised by governments comes from taxation.
The proverb draws on the actual inevitability of death to highlight the difficulty in avoiding the burden of taxes.
Answer: Option A. -> Privatisation
Answer: (a)
Privatization is the process of transferring ownership of a business, enterprise, agency, public service or public property from the public sector (a government) to the private sector, either to a business that operates for a profit or to a non-profit organization.
The term can also mean government outsourcing of services or functions to private firms, e.g. revenue collection, law enforcement, and prison management.
There are four main methods of privatization:
Share issue privatization (SIP) - selling shares on the stock market;
Asset sale privatization - selling an entire organization (or part of it) to a strategic investor, usually by auction or by using the Treuhand model;
Voucher privatization - distributing shares of ownership to all citizens, usually for free or at a very low price; and
Privatization from below - Start-up of new private businesses in formerly socialist countries.
Answer: (a)
Privatization is the process of transferring ownership of a business, enterprise, agency, public service or public property from the public sector (a government) to the private sector, either to a business that operates for a profit or to a non-profit organization.
The term can also mean government outsourcing of services or functions to private firms, e.g. revenue collection, law enforcement, and prison management.
There are four main methods of privatization:
Share issue privatization (SIP) - selling shares on the stock market;
Asset sale privatization - selling an entire organization (or part of it) to a strategic investor, usually by auction or by using the Treuhand model;
Voucher privatization - distributing shares of ownership to all citizens, usually for free or at a very low price; and
Privatization from below - Start-up of new private businesses in formerly socialist countries.
Question 107. With reference to the Indian Public Finance, consider the following statements.
- External liabilities reported in the Union Budget are based on historical exchange rates.
- The continued high borrowing has kept the real interest rates high in the economy.
- The upward trend in the ratio of Fiscal Deficit to GDP in recent years has an adverse effect on private investments.
- Interest payments is the single largest component of the non-plan revenue expenditure of the Union Government.
Answer: Option B. -> 2, 3 and 4
Answer: (b)
Answer: (b)
Answer: Option C. -> It is total expenditure less total receipts excluding borrowings
Answer: (c)
Answer: (c)
Answer: Option C. -> Turnover Tax
Answer: (c)
A turnover tax is similar to a sales tax or a VAT, with the difference that it taxes intermediate and possibly capital goods. It is charged on gross sales revenue from business transactions.
Unlike a sales tax, which is levied only on gross value at the point of retail sale, a turnover tax is levied on all intermediate transactions between businesses leading to and including the final sale.
Answer: (c)
A turnover tax is similar to a sales tax or a VAT, with the difference that it taxes intermediate and possibly capital goods. It is charged on gross sales revenue from business transactions.
Unlike a sales tax, which is levied only on gross value at the point of retail sale, a turnover tax is levied on all intermediate transactions between businesses leading to and including the final sale.
Answer: Option A. -> 1, 2 and 3
Answer: (a)Income tax, fringe tax, interest tax all are direct taxes paid directly to the government by the persons on whom it is imposed.
Answer: (a)Income tax, fringe tax, interest tax all are direct taxes paid directly to the government by the persons on whom it is imposed.
Latest Videos
Latest Test Papers
Login With Google
Old way of Login
Login With Email