1. Consider the following statements The Reserve Bank of India
1. acts as a Banker's Bank
2. act as a controller of capital issues
3. issues currency notes of various denominations
4. acts as a lender of the last resort for the sick industrial units Which of the above statements are correct?

2. Which one of the following DOES NOT come under the jurisdiction of state taxation?

3. Match List I with List II and select the correct answer using the codes given below the lists– (a) Service Tax 1. Central government (b) Stamp duty 2. State government (c) Property tax (d) Sales tax Codes: (a) (b) (c) (d)

4. Budgetary deficit does not take into account

5. MODVAT means

6. Fiscal Policy operates by changing

7. Consider the following statements The Indian Income Tax is
1. progressive 2. proportionate
3. direct 4. income-elastic Of these statements–

8. Match List I (Nature of deficit) with List II (How it is calculate) and select the correct answer using the codes given below the lists List I List II (a) Fiscal deficit 1. (Revenue and interest receipts) minus (Revenue expendiutre) (b) Revenue deficit 2. Rev enue receipts + Recovery of loans and other receipts) minus (Total expenditure) (c) Budgetary deficit 3. Receipts minus disbursements in Capital account (d) Capital deficit 4. (Total receipts)–(Total disbursements) Codes: (a) (b) (c) (d)

9. Black money in India

10. The long term Fiscal Policy formulated in the context of the Seventh Five Year Plan lays emphasis on

11. Which one of the following types of revenues is not shared by the Central Government with the State Governments?

12. Budgetary deficit of the Government of India is equal to

13. Market borrowings of the Central Government are included in

14. Agricultural income tax is a source of revenue to

15. Match List I (Tax) with List II (Imposed and collected by) and select the correct answer using the codes given below the list: List I List II (a) Corporation Tax 1. State (b) Sales Tax 2. Municipal Corporation. (c) House Tax 3. Government of India (d) Wealth Tax Codes: (a) (b) (c) (d)

16. The controlling authority of Government expenditure is

17. Which sector has maximum share in Gross Domestic Saving in India?

18. Which one of the following is not a liability of a Commercial Bank?

19. Agricultural taxation in India is difficult because of

20. The Central Government has had to resort to substantian borrowing since the early 80s, mainly because

21. Which one of the following is not an objective of fiscal policy?

22. The effect of deficit financing is

23. Which of the following effects of deficit financing of the Central Government affects the common man most adversely?

24. Consider the following statements The division of incidence of a tax between buyers and sellers is governed by
1. elasticity of demand and supply.
2. cost conditions.
3. market structure. Of these statements

25. Budegtary deficit does NOT take into account