Financial Administration primarily ensures ___ and ___ in managing public finances.

Fiscal discipline and accountability

True or False: The primary objective of Financial Administration is to maximize government revenues without regard to public expenditure efficiency.

False: The primary objective is to ensure efficient and equitable allocation of public resources.

What are the major types of budgets used in Financial Administration?

Balanced Budget, Deficit Budget, Surplus Budget, Performance Budget, and Zero-Based Budgeting.

Fill in the blank: Revenue Administration includes the collection of ___, ___, and grants.

Tax revenue and non-tax revenue

True or False: Performance Budgeting links expenditures to specific outcomes in public finance.

True

What is the role of the Comptroller and Auditor General (CAG) in Financial Administration?

To audit government accounts, ensure compliance with financial rules, and enhance transparency and accountability.

True or False: Fiscal Policy involves government decisions on taxation and expenditure solely to generate revenue.

False: Fiscal Policy also aims to influence economic growth, control inflation, and reduce inequalities.

What are the key components of Financial Administration?

Budgeting, Revenue Administration, Expenditure Management, Accounting and Auditing, and Financial Control.

What is Zero-Based Budgeting?

Zero-Based Budgeting is effective.

• Starts from zero each year.

• Justifies all expenses anew.

• Promotes cost management rigor.

True or False: The Finance Minister presents the Union Budget in Parliament without any prior preparation.

False: The budget is prepared by ministries under the guidance of the Finance Ministry.

What is the significance of the FRBM Act in Financial Administration?

It establishes fiscal responsibility and budget management to reduce fiscal deficits and promote sustainable economic growth.

What is the main objective of public debt management?

To raise, service, and repay government borrowings while balancing debt with repayment capacity to avoid fiscal deficits.

True or False: The Public Accounts Committee is responsible for overseeing the government's financial operations and expenditures.

True

Explain the role of GST in revenue administration.

GST streamlines tax collection by providing a unified tax structure, enhancing efficiency and compliance in the tax system.