Multiple choice

With reference to the Union Budget, which of the following is/are covered under Non-Plan Expenditure?

  1. Defence-expenditure
  2. Interest payments
  3. Salaries and pensions
  4. Subsidies

Which of the following is the correct option?

  1. 1 only

  2. 2 and 3 only

  3. 1, 2, 3 and 4

  4. None

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Non-plan revenue expenditure is accounted for by interest payments, subsidies (mainly on food and fertilisers), wage and salary payments to government employees, grants to States and Union Territories governments, pensions, police, economic services in various sectors, other general services such as tax collection, social services, and grants to foreign governments.