Students can use CBSE Previous Year Question Papers Class 12 Economics with Solutions and CBSE Class 12 Physics Question Paper 2022 (Term-I) to familiarize themselves with the exam format and marking scheme.
CBSE Class 12 Economics Question Paper 2022 (Term-I) with Solutions
Time Allowed: 90 minutes
Maximum Marks: 40
General Instructions:
(i) This question paper contains 60 questions out of which 50 questions are to be attempted. All questions carry equal marks.
(ii) This question paper consists three Sections – Section A, B and C.
(iii) Section-A contains 24 questions. Attempt any 20 questions from Q. No. 1 to 24.
(iv) Section-B contains 24 questions. Attempt any 20 questions from Q. No. 25 to 48.
(v) Section-C contains 12 questions. Attempt any 10 questions from Q. No. 49 to 60.
(vi) The first 20 questions in Section A & Section B and first 10 questions attempted in Section C will be evaluated.
(vii) There is only one correct option for every Multiple Choice Question (MCQ). Marks will not be awarded for answering more than one option.
(viii) There is no negative marking.
Section A
Question 1.
Identify which of the following is an example of non-debt capital receipt. (Choose the cofrect alternative)
(a) Financial aid from MNC for victims in flood affected area.
(b) Borrowings from International Monetary Fund (IMF).
(c) Recovery of loans from State Governments.
(d) Dividend paid by State Bank of India (SBI) to the Government.
Answer:
(c) Recovery of loans from State Governments.
Question 2.
……………. is the difference between value of export and import of services; transfer payments in a given period of time. (Fill up the blank with correct alternative)
(a) Balance of trade
(b) Net Invisibles (Services)
(c) Trade surplus
(d) Current account of BOP
Answer:
(b) Net Invisibles (Services)
Question 3.
……………… is not related with banking.gy.stem. (Fill up the blank with correct alternative)
(a) Bank rate
(b) Fiscal deficit
(c) Credit creation
(d) Cash Reserve Ratio
Answer:
(b) Fiscal deficit
Question 4.
Which of the following items will be entered on the credit side of current account in Balance of Payment of a country? (Choose the correct alternative)
(a) Borrowings from abroad
(b) Import of Machinery
(c) Export of tea
(d) Foreign Direct Investment
Answer:
(c) Export of tea
Question 5.
Read the following statements carefully and choose the correct alternative:
Statement-I : The demonetisation of currency was undertaken by Indian Government on November 8, 2016. ’
Statement-II: Demonetisation has increased the popularity of e-wallets in India.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(a) Both the statements are true.
Question 6.
Central Bank as …………. manages public debt of the government. (Fill up the blank with correct alternative)
(a) Custodian of Foreign Exchange
(b) Agent
(c) Financial Advisor
(d) Supervisor
Answer:
(b) Agent
Question 7.
Read the following statements carefully and choose the correct alternative:
Statement-I : Public goods are non-excludable.
Statement-II: Consumption of public goods by people is of rivalous nature.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(c) Statement-I is true, Statement-II is false.
Question 8.
Price of one currency in relation to another currency, determined by the free market forces, is known as ………… (Fill up the blank with correct alternative)
(a) Equilibrium Price
(b) Fixed Exchange Rate
(c) Foreign Exchange Rate
(d) Flexible Exchange Rate
Answer:
(d) Flexible Exchange Rate
Question 9.
Process of credit creation by commercial banks comes to an end when ………….. (Fill up the blank with correct alternative)
(a) Fresh deposits with Banks become zero.
(b) Reserve Ratio becomes zero.
(c) Money multiplier becomes zero.
(d) Total money reserves become equal to initial deposit.
Answer:
(d) Total money reserves become equal to initial deposit.
Question 10.
In ……………., First ‘Industrial Policy Resolution’ of Independent India was announced. (Fill up the blank with correct alternative)
(a) 1947
(b) 1948
(c) 1951
(d) 1956
Answer:
(b) 1948
Question 11.
During colonial period, estimates of ……………… on national income and per capita income’Were considered very significant. (Fill up the blank with correct alterrtative)
(a) Dadabhai Naoroji
(b) William Digby
(c) V.K.R.V. Rao
(d) R.C. Desai
Answer:
(c) V.K.R.V. Rao
Question 12.
Match the items of Column-I to Colunuirll & choose the correct alternative:
Column-I | Column-II |
A. Goods produced by small scale industries were dereserved. | (i) Tax Reforms |
B. Foreign Investment limit raised to around 50%. | (ii) Foreign Exchange Reforms |
C. The rate of corporation tax has been reduced. | (iii) Financial Sector Reforms |
D. Market determined exchange rate system was adopted. | (iv) Deregulation of Industrial Sector |
(a) A-(iv), B-(iii), C-(i), D-(ii)
(b) A-(iii), B-(iv), C-(i), D-(ii)
(c) A-(iv), B-(iii), C-(ii) D-(i)
(d) A-(iii), B-(iv), C-(ii), D-(i)
Answer:
(a) A-(iv), B-(iii), C-(i), D-(ii)
Question 13.
………….. is not a type of land reform introduced by Government of India, after Independence. (Fill up the blank with correct alternative)
(a) Land ceiling
(b) Abolition of intermediaries
(c) Change in ownership of land holding
(d) Use of High Yielding Variety (HYV) seeds
Answer:
(d) Use of High Yielding Variety (HYV) seeds
Question 14.
Read the following statements carefully and choose the correct alternative:
Statement-I : The Planning Commission has defined poverty line on the basis of minimum calorie intake of an individual in a day.
Statement-II: Monthly Per Capita Consumption Expenditure (MPCE) method is also used to determine poverty line in India.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(a) Both the statements are true.
Question 15.
In 1991, …………… was the immediate impact of devaluation of Indian Rupee. (Fill up the blank with correct alternative)
(a) Increase in inflow of foreign exchange
(b) Decrease in inflow of foreign exchange
(c) Increase in outflow of foreign exchange
(d) Fall in foreign exchange reserve
Answer:
(a) Increase in inflow of foreign exchange
Question 16.
…………… was known as Architect of Indian Economic Planning. (Fill up the blank with correct alternative)
(a) Pandit Jawahar Lai Nehru
(b) Dr. Manmohan Singh
(c) P.C. Mahalanobis
(d) Dr. B.R. Ambedkar
Answer:
(c) P.C. Mahalanobis
Question 17.
Identify the incorrect statement from the following: (Choose the correct alternative)
(a) Horticulture has emerged as a successful sustainable livelihood option for farmers in India.
(b) Horticulture is an important sector for potential diversification and value addition in agriculture.
(c) India is blessed with supportive .climatic and soil conditions for horticulture.
(d) Horticulture is the business related to producing, storing and distributing food grains.
Answer:
(d) Horticulture is the business related to producing, storing and distributing food grains.
Question 18.
‘Budget is used as an important policy instrument to combat fluctuations in an economy.’ (Choose the correct alternative)
In the light of above lines, identify the related objective of government budget.
(a) Allocation of resources
(b) Stabilisation of prices
(c) Growth of the economy
(d) Redistribution of income
Answer:
(b) Stabilisation of prices
Question 19.
Read the following statements carefully and choose the correct alternative:
Statement-I : Concept of absolute poverty is used to identify the number of poor people in India.
Statement-II: Increase in per capita Gross Domestic Product (GDP) helps in eradication of poverty in a nation.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(a) Both the statements are true.
Question 20.
Statutory Liquidity Ratio implies to that percentage of …………. (Fill up the blank with correct alternative)
(a) total deposits of the commercial banks which must be kept in the current account, with the Reserve Bank of India.
(b) total deposits of the commercial banks which must be kept in the form of liquid assets, with the Reserve Bank of India.
(c) net time and demand deposit liabilities of the commercial banks which must be kept in the form of cash, with the Reserve Bank of India.
(d) net time and demand deposit liabilities of the commercial banks which must be kept with themselves in the form of liquid assets.
Answer:
(d) net time and demand deposit liabilities of the commercial banks which must be kept with themselves in the form of liquid assets.
Question 21.
Identify the incorrect statement in context of human capital. (Choose the correct alternative)
(a) Human capital is intangible in nature.
(b) Human capital is perfectly mobile.
(c) Human capital is inseparable from its owner.
(d) Human capital cannot be sold in market like commodity.
Answer:
(b) Human capital is perfectly mobile.
Question 22.
Read the following statements carefully and choose the correct alternative:
Statement-I : The tax reduction in the economic reform period was aimed at yielding ’’ larger tax revenue and curb tax evasion.
Statement-II: Tax reductions negatively affected the developmental and welfare expenditure of government.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(c) Statement-I is true, Statement-II is false.
Question 23.
During the second half of the 19th century, the cotton textile mills mainly dominated by Indian entrepreneurs were located mainly in …………… (Fill up the blank with correct alternative)
(a) Bengal
(b) Maharashtra
(c) Calcutta
(d) Madhya Pradesh
Answer:
(b) Maharashtra
Question 24.
The vaccination campaign for containing COVID-19 is an example of …………… medicine. (Fill up the blank with correct alternative)
(a) Preventive
(b) Curative
(c) Social
(d) Emotional
Answer:
(a) Preventive
Section B
Question 25.
In context of current account, identify the incorrect statement from the following:
(a) Export of goods and services are recorded as credit items.
(b) Imports of goods and services are recorded as debit items.
(c) All transfer payments are recorded as debit items.
(d) All transfer receipts are recorded as debit items.
Answer:
(d) All transfer receipts are recorded as debit items.
Question 26.
If the Legal Reserve Ratio is 20% and Initial deposit is ₹2,000, then value of money multiplier and total money creation will be …………… and ………… (Fill up the blank with correct alternative)
(a) 5 and ₹10,000
(b) 4 and ₹8,000
(c) 6 and ₹2,000
(d) 4 and ₹10,000
Answer:
(a) 5 and ₹10,000
Explanation: Money Multipler = \(\frac{1}{LRP}\) = \(\frac{1}{20%}\) = \(\frac{100}{20}\) = 5
Question 27.
Read the following statements – Assertion (A) and Reason (R) carefully & choose the correct alternative:
Assertion (A): Post 1991, India has become the favoured outsourcing destination in the world.
Reason (R) : Indian labour has skilled labour force.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
Question 28.
Co-operative marketing societies have faced a downfall in the recent years/ Identify which of the following was not a reason behind its downfall.
(a) Lack of co-ordination between processing and marketing societies.
(b) Inefficient financial management.
(c) Inadequate coverage of all the members.
(d) Intervention of the government is most essential.
Answer:
(d) Intervention of the government is most essential.
Question 29.
Read the following statements – Assertion (A) and Reason (R) carefully & choose the correct alternative:
Assertion (A): Human Capital formation is a flow concept.
Reason (R) : Stock is that variable which is measured at a given point of time.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
Question 30.
Which of the following is incorrect about Urban poor?
(a) They usually possess few assets.
(b) They work as unskilled workers.
(c) It also includes those poor who have migrated from rural areas.
(d) They are usually landless, working as tenant cultivators.
Answer:
(d) They are usually landless, working as tenant cultivators.
Question 31.
Read the following statements- Assertion (A) & Reason (R) carefully & choose the correct alternative:
Assertion (A) :The purpose of license policy was to promote regional equalities.
Reason (R) : The motive of licensing system was to monitor and control the industrial production.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
Question 32.
Read the following statements carefully and choose the correct alternative:
Statement-I : Self Help Groups (SHGs) have emerged to fill the gap in formal credit system.
Statement-II: Formal credit system in India, is not only inadequate but also not fully integrated with rural social community development.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(a) Both the statements are true.
Question 33.
Which of the following statements does not support with the function of RBI as supervisor to the commercial banks?
(a) Regulates the expansion, merger, acquisition etc. of the banks.
(b) Formulates all rules and regulations for commercial banks.
(c) Extend loans to the commercial bank.
(d) Inspection of operations of banks.
Answer:
(a) Regulates the expansion, merger, acquisition etc. of the banks.
Question 34.
Read the following statements carefully and choose the correct alternative:
Statement-I : Agricultural productivity was very low during the British Rule. Statement-II: In absolute terms, there was growth in agricultural sector due to expansion i of aggregate area under cultivation.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(c) Statement-I is true, Statement-II is false.
Question 35.
Read the following statements – Assertion (A) and Reason (R) carefully & choose the correct alternative:
Assertion (A): Reserve Ratio and Credit creation power of commercial bank are directly related.
Reason (R) : Credit Creation is the product of the reciprocal of Reserve Ratio (RR) and Primary deposit.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation – for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(d) Assertion (A) is false but Reason (R) is true.
Question 36.
If the value of export of merchandise is ₹1,500 crore and. Imports of goods are 20 percent more than exports. The value of imports and trade deficit will be 7 crores and 7 crores respectively.
(a) ₹1800, ₹3300
(b) ₹1800, ₹300
(c) ₹1200, ₹300
(d) ₹1200, ₹3300
Answer:
(b) ₹1800, ₹300
Explanation: Import of Goods = ₹1500 × \(\frac{120}{100}\) = ₹1,800
Trade Deficit = Import – Export = ₹1,800 – ₹1,500 = ₹300
Question 37.
Identify the false statement in context of India’s foreign trade.
(a) Exporter of raw material.
(b) Surplus in foreign trade account.
(c) Importer of finished goods
(d) Import of gems and pearls from Britain.
Answer:
(a) Exporter of raw material.
Question 38.
Read the following statements carefully and choose the correct alternative:
Statement-I : Poverty line is that point of the income distribution, which divides the population of the country into rich and poor.
Statement-II: The method of poverty line is used to measure Relative poverty.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(c) Statement-I is true, Statement-II is false.
Question 39.
Which of the following items is included in capital account of Balance of Payments of a country? (Choose the correct alternative)
(a) Interest and rent received from assets abroad
(b) Income from banking services
(c) Remittances from abroad
(d) Foreign Direct Investment
Answer:
(d) Foreign Direct Investment
Question 40.
Read the following statements – Assertion (A) and Reason (R) carefully & choose the correct alternative:
Assertion (A): Managed floating exchange rate system is an amalgamation of fixed . exchange rate and flexible exchange rate.
Reason (R) : Central Bank can manipulate the flexible exchange rate system.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(c) Assertion (A) is true but Reason (R) is false.
Question 41.
Read the following statements carefully and choose the correct alternative:
Statement-I : For poverty alleviation, the Government of India adopted three dimensional approach.
Statement-II: Lack of active participation of the poor, the gains of economic growth have been grabbed by the rich.
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statemerit-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(a) Both the statements are true.
Question 42.
Read the following statements carefully and choose the correct alternative:
Statement-I : All the coins are issued by Finance Ministry in India.
Statement-II: All the currency notes are issued by Reserve Bank of India.
(a) Both the statements are true. .
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(c) Statement-I is true, Statement-II is false.
Question 43.
Read the following statements – Assertion (A) & Reason (R) carefully & choose the correct alternative:
Assertion (A): Foreign exchange rate supports the comparison of international costs and prices.
Reason (R) : Foreign exchange rate is the price of one currency in terms of another commodities.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(c) Assertion (A) is true but Reason (R) is false.
Question 44.
……………… organization collects statistics on poverty in India.
(a) Planning Commission.
(b) NSSO
(c) Ministry of Statistics
(d) Ministry of Finance
Answer:
(b) NSSO
Question 45.
Read the following statements – Assertion (A) and Reason (R) carefully & choose the correct alternative:
Assertion (A): Rural development in India is a core element for overall development of the . nation.
Reason (R) : More than two-third of India’s population depends on agriculture.
From the given alternative choose the correct alternative:
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
Question 46.
Which of the following statements is incorrect? (Choose the correct alternative)
(a) Balance of Payment (BOP) is a flow concept.
(b) Balance of Trade includes exportand import of goods only.
(c) Charity to foreign countries is recorded in Capital Account of BOP.
(d) Balance of Payment is broader concept than balance of trade.
Answer:
(c) Charity to foreign countries is recorded in Capital Account of BOP.
Question 47.
Distribution of Outstanding Loan of Cultivator Households (Rural) % :
Source : NSS 48th Round, Report No. 420,
NSS 59th Round, Report No. 501
Which Institutional Agency (As given in the above table) has shown the maximum increase in the share of outstanding loan to cultivators:
(a) Relatives & Friends
(b) Commercial banks
(c) Co-operative Societies/Banks
(d) Traders
Answer:
(b) Commercial banks
Question 48.
Read the following statements – Assertion (A) and Reason (R) carefully & choose the correct alternative:
Assertion (A): Economists emphasize on the need for expanding educational opportunities, as it accelerates development process.
Reason (R) : Educated people facilitate adaption of new technology and stimulate
innovation.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
(b) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation for Assertion (A).
(c) Assertion (A) is true but Reason (R) is false.
(d) Assertion (A) is false but Reason (R) is true.
Answer:
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation for Assertion (A).
Section C
Q. No. 49-54 are to be answered on the basis of previous knowledge and the text given below:
The adoption of the socialist pattern as the national objective, require that all industries are of strategic importance. In the nature of public utility, services should be in the hands of public sector. Other Industries which are essential and require investment have also to be in the public sector. After considering all the aspects of the problem, the Government of India decided to classify industries into three categories. The central idea behind this thought process is to ensure active role of government at all levels (directly or indirectly).
Source: Industrial Policy Resolution. (30th April, 1956)
Question 49.
In the Industrial Policy Resolution 1956, Industries were classified into ……………. categpries.
(a) one
(b) two
(c) three
(d) four
Answer:
(c) three
Question 50.
‘Under IPR 1956, the private sector was kept under state control through licensing system.’
The objective of such policy was …………….. (Choose the correct alternative)
(a) To promote regional equality
(b) To ensure that production exceeds what the economy required.
(c) To ensure that private sector enterprises should not create monopoly.
(d) Both (a) and (c)
Answer:
(d) Both (a) and (c)
Question 51.
Industrial Policy Resolution 1956, formed the basis of ……………… five year plan.
(a) First
(b) Second
(c) Third
(d) Fourth
Answer:
(b) Second
Question 52.
Read the following statements carefully and choose the correct alternative:
Statement-I : Under IPR 1956, First Category comprised Industries exclusively owned by state. Statement-II: Second Category comprised of Industries where state will supplement private sector.
Alternatives:
(a) Both the statements are true.
(b) Both the statements are false.
(c) Statement-I is true, Statement-II is false.
(d) Statement-II is true, Statement-I is false.
Answer:
(a) Both the statements are true.
Question 53.
Which of the following statements is incorrect?
(a) State had complete control over the industries, that were vital for economy.
(b) Industries left for private sector were kept under control of government through licensing.
(c) License was not required for expansion.
(d) The purpose of licensing was to promote regional equality.
Answer:
(c) License was not required for expansion.
Question 54.
Industrial Policy is a ……………. combination/pack of policy measures.
(a) narrow
(b) finite
(c) comprehensive
(d) superficial
Answer:
(c) comprehensive
Question 55 to 60 are to be answered on the basis of given data & Common Knowledge:
Question 55.
What is the percentage share of total tax revenue in government’s total receipts?
(a) 56%
(b) 53%
(c) 59%
(d) 45%
Answer:
(b) 53%
Explanation: \(\frac{13+14+3+8+15}{100}\) × 100 = 53%
Question 56.
Identify which of the following is not an example of non-tax revenue?
I. Fees and fines
III. Income Tax
III. Borrowings
IV. Grants
(a) Only II
(b) II and III
(c) II, III and IV
(d) I and IV
Answer:
(a) Only II
Question 57.
If government .borrowing increases, which of the following statements will be incorrect for the current fiscal year?
(a) Primary deficit will increase.
(b) Fiscal deficit will increase.
(c) Revenue deficit will decrease.
(d) Government burden for future payments will increase.
Answer:
(c) Revenue deficit will decrease.
Question 58.
Which among the following is an example of Indirect Tax?
(a) Income Tax
(b) Corporation Tax
(c) Excise Duties
(d) Gift Tax
Answer:
(c) Excise Duties
Question 59.
If government borrowing for the fiscal year is ?35,000 crores and interest payments are ₹5,000 crores then the value of fiscal deficit will be.
(a) ₹35,000 crores
(b) ₹30,000 crores
(c) ₹40,000 crores
(d) ₹7,000 crores
Answer:
(a) ₹35,000 crores
Explanation: ₹35,000 crores as fiscal deficit is an indication of the total borrowing needed by the government.
Question 60.
Match the items of Column-I with Column-II and choose the correct pair:
Column-I | Column-II |
A. Revenue Receipt | (i) Interest Paid |
B. Capital Receipt | (ii) Grants received |
C. Revenue Expenditure | (iii) Profits of PSU |
D. Capital Expenditure | (iv) Loan repaid |
(a) A – (i)
(b) B – (ii)
(c) C – (iii)
(d) D – (iv)
Answer:
(d) D – (iv)