The government budget of a hypothetical economy presents following information, which of the following value represents Budgetary Deficit.

(all fig. in Rs. crore)
(i) RevenueExpenditure = 25,000
(ii) Capital Receipts = 30,000
(iii) Capital Expenditure = 35,000
(iv) Revenue Receipts  = 20,000
(v) Interest Payments = 10,000
(vi) Borrowings = 20,000

(a) Rs.12,000

(b) Rs.20,000

(c) Rs.10,000

(d) None of the above.

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1 Answers

(d) None of the above.

Budgetary Deficit = Revenue Expenditure + Capital Expenditure - (Revenue Receipts)

= 25,000 + 35,000 - (20,000 + 3,000)

= Rs. 50,000 crore

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