Multiple choice

Budget deficit is

  1. Revenue and Capital expenditures – Revenue and Capital receipts

  2. Revenue Expenditure – Revenue receipts

  3. Capital Expenditure – Capital receipts

  4. Revenue and Capital receipts – Revenue and Capital expenditures

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

When revenue as well as capital expenditures are more than the total revenues, it is budget deficit. (B) is revenue deficit, (D) is budget surplus.

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