Question

Which of the following is/are included in the capital budget of the Government of India?
1. Expenditure on acquisition of assets like roads, buildings, machinery, etc.
2. Loans received from foreign governments
3. Loans and advances granted to the States and Union Territories
Select the correct answer using the code given below.
(a) 1 only
(b) 2 and 3 only
(c) 1 and 3 only
(d) 1, 2 and 3

Answer 1

c 1 and 3 only mere hisab se ye shi hai

Answer 2

The correct answer is option(d) 1,2 and 3.

In Union Budget, capital receipts and capital expenditure are parts of current account.  Borrowings and loans come under capital receipts and expenditure.

Capital expenditure create permanent assets and incomes and includes loans given to state governments and local bodies. This means that spent money can be recovered.

Capital receipts are raised from already raised amount in the form of loan or asset.