Question

Capital expenditure is categorised as ________.

• A. planned
• B. unplanned
• C. both A and B
• D. none of the above

Answer 1

Answer: (C)

both A and B

Any expenditure that is incurred on programmes which are detailed to state for their plans is called planned expenditure. The estimated expenditure provided in the budget for spending during the year on routine functioning of the government is unplanned expenditure. So capital expenditure comprises both.