One of the two components of government budget area)Investment budgetb)Expenditure budgetc)Income budgetd)Revenue budgetCorrect answer is option 'D'. Can you explain this answer?

Question

Answer

Government has several policies to implement in the overall task of performing its functions to meet the objectives of social & economic growth. For implementing these policies, it has to spend huge amount of funds on defence, administration, and development, welfare projects & various other relief operations. It is therefore necessary to find out all possible sources of getting funds so that sufficient revenue can be generated to meet the mounting expenditure.

Answer

There are 2 components of government budget....revenue budget and capital budget . revenue budget is related to that budget which make under 1 year or up to 1 year..and capital budget is related up to 5 Yeats Maximum ...so making budget for 5 year plans or any plans that takes more than 1 year..related to capital budget  and for making budget like rail budget is comes under revenue budget ...and it is easy applicable and very much essential for the citizen of the country...

Answer

B

Answer

Budget has two components
Budget receipt
it has two part
revenue receipt
capital receipt.
Budget expenditure
Revenue Expenditure
Capital Expenditure

Answer

Budget is a crucial tool used by governments to plan and manage their finances. It is divided into two main components, namely the revenue budget and the expenditure budget.

- Revenue Budget:
The revenue budget outlines the expected income of the government over a specific period, usually a fiscal year. This includes revenue from taxes, fees, fines, and other sources. The revenue budget is crucial as it helps the government to estimate how much money it can generate to fund its various expenditures.

- Expenditure Budget:
On the other hand, the expenditure budget details the government's planned spending on various programs, projects, and services. This includes expenses on education, healthcare, defense, infrastructure, and other sectors. The expenditure budget is important as it helps the government allocate resources efficiently and effectively to achieve its goals and objectives.

Therefore, the correct answer to the question is option 'D - Revenue budget' as one of the two components of the government budget. It plays a vital role in determining how much money the government can spend on its programs and services, while the expenditure budget outlines where and how that money will be allocated. Both components work together to ensure that the government's finances are managed in a responsible and sustainable manner.

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