1000 Best Indian Economy MCQs

Q249). The largest share of revenue receipts of the State Government comes from

a).General sales tax
b).Land revenue
c).Sharing excise duty
d).Registration fees

Correct Answer:
General sales tax
Explanation:



Q250). The largest expenditure being incurred from combined revenue expenditure of centre, states and union territories is on

a).health
b).education
c).interest payments
d).defence services

Correct Answer:
interest payments
Explanation:



Q251). India’s maximum foreign exchange is spent on

a).import of foodgrains
b).import of iron and steel
c).import of petroleum products
d).import of technical know-how

Correct Answer:
import of petroleum products
Explanation:



Q252). Deficit financing means that the government borrows money from the

a).RBI
b).local bodies
c).big businessmen
d).IMF

Correct Answer:
RBI
Explanation:



Q253). The banks are required to maintain a certain ratio between their cash in the hand and totals assets. This is called

a).Statutory Bank Ratio (SBR)
b).Statutory Liquid Ratio (SLR)
c).Central Bank Reserve (CBR)
d).Central Liquid Reserve (CLR)

Correct Answer:
Statutory Liquid Ratio (SLR)
Explanation:



Q254). If all the banks in an economy are nationalized and converted into a monopoly bank, the total deposits

a).will decrease
b).will increase
c).will neither increase nor decrease
d).None of the above

Correct Answer:
will neither increase nor decrease
Explanation:



Q255). Short-term finance is usually for a period ranging up to

a).5 months
b).10 months
c).12 months
d).15 months

Correct Answer:
12 months
Explanation:



Q256). Our financial system has provided for the transfer of resources from the centre to the states; the important means of resource transfer are

a).tax sharing
b).grant-in-aids
c).loans
d).All the above

Correct Answer:
All the above
Explanation:



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