Annual Budget

Q.

Mention the financial year or fiscal year of India.

Q. Which of the following is a major source of income for the government?

1. Penalties
2. Service fees
3. School fees
4. Taxes

Q. Arrange the following steps of preparation of budget in the right order.

1. Prepare budget
2. Finalise budget
3. Present in Lok Sabha
4. Debate on budget
5. Ask for estimates

Q. What is the duration of a financial year?

1. January 1 to December 31
2. April 1 to March 31
3. June 1 to May 30
4. December 1 to November 31

Q. A/An is the financial statement showing the expected income and expenditure of the government during a financial year.

1. bill
2. receipt
3. planner
4. annual budget

Q. Ordinary food items, such as grain, pulses, oil are used by all. Then why is it said that imposing a tax on them will have a greater effect on the poor?

Q.

How do I prepare a financial report?

Q. The government charges higher direct tax from the rich and lower from poor, whereas the same indirect tax is charged to all the citizens.

1. False
2. True

Q.

What is called a government budget?

Q. How does the finance ministry estimate the expenditure to the income for the next financial year?

1. Obtains estimates of income and expenditure from all other countries
2. Obtains estimates of income and expenditure from the World Bank
3. Obtains estimates of income and expenditure from all ministries
4. Obtains estimates of income and expenditure from the Reserve Bank of India

Q. Identify the features pertaining to annual budget.

1. Statement of expected income of the government
2. Statement of expected expenses of the government
3. Starts on 1 April and ends on 31 March
4. Starts on 1 January and ends on 31 December

Q. Suppose the Ministry of Finance planned a budget in 2010, when does the government implement the budget?

1. In 2010
2. In 2012
3. In 2015
4. In 2011

Q. Once the budget is finalised, where should it be presented, discussed, and voted on?

1. Rajya Sabha
2. Panchayat
3. Lok Sabha
4. Gram Sabha

Q. Emma is planning a trip to Maldives. But before she takes the trip, she has to make a budget of her expenses. How will this budget help her throughout the trip?

1. It helps her control her spending.
2. It helps her plan her income.
3. It helps her track the expenses.
4. It helps her save money.

Q. Statement I: In India, the direct tax rate is uniform for all citizens.

Statement II: In India, a higher indirect tax is charged from wealthy and lower indirect tax from the poor.

1. Both statements I and II are true.
2. Statement I is true, but statment II is false.
3. Statement I is false, but statment II is true.
4. Both statements I and II are false.

Q. The initial processes of making the annual budget start in August–September, i.e., around six months prior to the budget presentation.

Identify the correct procedure of preparation of the annual budget by the Finance Minister.

1. Step 1: Estimate expenditures and tax rates
   Step 2: Finalise the budget
   Step 3: Present budget in the Lok Sabha
   Step 4: Discussions and debates on budget
   Step 5: Implementation of budget
2. Step 1: Estimate expenditures and tax rates
   Step 2: Implementation of budget
   Step 3: Present budget in the Lok Sabha
   Step 4: Discussions and debates on budget
   Step 5: Finalise the budget
3. Step 1: Estimate expenditures and tax rates
   Step 2: Present budget in the Lok Sabha
   Step 3: Discussions and debates on budget
   Step 4: Implementation of budget
   Step 5: Finalise the budget
4. Step 1: Estimate expenditures and tax rates
   Step 2: Implementation of budget
   Step 3: Discussions and debates on budget
   Step 4: Present budget in the Lok Sabha
   Step 5: Finalise the budget