FISCAL SYSTEM MCQS SET 15

FISCAL SYSTEM MCQS SET 15

141) Buyer's market denotes the place where:
A) the supply exceeds the demand
B) the demand exceeds the supply
C) the demand and supply are well balanced
D) commodities are available at competitive rates
Answer: the demand exceeds the supply

   
142) Deficit financing is spending:
A) by getting foreign aid
B) less than what is needed
C) in excess of revenue
D) by borrowing from abroad
Answer: in excess of revenue
    

143) Budgetary deficit refers to:
A) total expenditure minus total receipt
B) fiscal deficit minus the interest payment
C) total revenue expenditure minus total revenue receipt
D) revenue receipt plus capita! receipt minus total expenditure
Answer: total expenditure minus total receipt
    

144) Main bearers of the burden of indirect tax are:
A) manufacturers
B) traders
C) consumers
D) tax payers
Answer: consumers

   
145) A tax that takes away a higher proportion of one's income as the income rises is termed as
A) indirect tax
B) progressive tax
C) regressive tax
D) proportional tax
Answer: progressive tax


146) Srikrishna Commission dealt with:
A) Microfinance
B) Small industrial sector
C) Telengana issue
D) Rural Infrastructure
Answer: Telengana issue
    

147) The Indian income tax is :
1. direct
2. progressive
3. indirect
4. proportional
A) 1 and 2
B) 1 and 4
C) 2 and 3
D) 3 and 4
Answer: 1 and 2

   
148) Excise Duties are taxes on :
A) sale of commodities
B) export of commodities
C) production of commodities
D) import of commodities
Answer: production of commodities
    

149) Chelliah Committee dealt with reforms in:
A) Taxation
B) Export and import
C) Monetary policy
D) None of the above
Answer: Taxation

   
150) The most important objective of Monetary Policy of India is:
A) Ensuring effective money supply
B) Ensuring effective supply of equities
C) Ensuring a balanced structure of CRR and SLR
D) Ensuring price stability
Answer: Ensuring price stability