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Question

Find budget deficit from the following data:

Items (Rs in crore)

(i) Revenue receipts 40,000

(ii) Revenue expenditure 30,000

(iii) Capital receipts 30,000

(iv) Capital expenditure 50,000

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Solution

Budget Deficit

= (Revenue expenditure + Capital expenditure) - (Revenue receipts + Capital receipts)

= (Rs. 30,000 crore + Rs. 50,000 crore) - (Rs. 40,000 crore + Rs. 30,000 crore)

= Rs. 80,000 crore - Rs. 70,000 crore

= Rs. 10,000 crore

Budget deficit = Rs. 10,000 crore


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