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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:
Assertion (A): Fiscal deficit is the difference between primary deficit and interest payment.
Reason (R): Fiscal deficit is the sum total of primary deficit and interest payment.
  • a)
    Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).
  • b)
    Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
  • c)
    Assertion (A) is true but reason (R) is false.
  • d)
    Assertion (A) is false but reason (R) is true.
Correct answer is option 'D'. Can you explain this answer?
Verified Answer
Directions: In the following questions, a statement of assertion (A) ...
Fiscal Deficit refers to the excess of total expenditure over total receipts excluding borrowings. It indicates borrowing requirements of the government.
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Most Upvoted Answer
Directions: In the following questions, a statement of assertion (A) ...
Explanation:

Assertion (A) is false:
Fiscal deficit is not the difference between primary deficit and interest payment. Fiscal deficit is actually the difference between total expenditure and total revenue of the government, including both revenue receipts and capital receipts.

Reason (R) is true:
The reason provided is correct. Fiscal deficit is indeed the sum total of primary deficit (which is the difference between total expenditure and total revenue excluding interest payments) and interest payments on past borrowings. So, the reason is true.
Therefore, the correct answer is option 'D' - Assertion (A) is false but reason (R) is true.
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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Fiscal deficit is the difference between primary deficit and interest payment.Reason (R): Fiscal deficit is the sum total of primary deficit and interest payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'D'. Can you explain this answer?
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Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Fiscal deficit is the difference between primary deficit and interest payment.Reason (R): Fiscal deficit is the sum total of primary deficit and interest payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'D'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Fiscal deficit is the difference between primary deficit and interest payment.Reason (R): Fiscal deficit is the sum total of primary deficit and interest payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Fiscal deficit is the difference between primary deficit and interest payment.Reason (R): Fiscal deficit is the sum total of primary deficit and interest payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'D'. Can you explain this answer?.
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