This quiz works best with JavaScript enabled. Home > Public Finance > Public Finance – Quiz 8 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Public Finance Quiz 8 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Indirect tax consists of A) Central excise duty and value added tax (VAT). B) Import-export taxes and service tax. C) Only a. D) Both a and b. Show Answer Correct Answer: D) Both a and b. 2. A single goods and service tax (GST) has been introduced ina) 1st June 2017b) 1st July 2017c) 1st January 2007d) 1st January 2017Answer:b) 1st July 2017 A) 1st June 2017. B) 1st July 2017. C) 1st January 2007. D) 1st January 2017. Show Answer Correct Answer: B) 1st July 2017. 3. Which of the following type of public expenditure is characterized by quid-pro-quo? A) Grant. B) Subsidy. C) Interest. D) Purchase Prices. Show Answer Correct Answer: D) Purchase Prices. 4. In India, the financial year starts from A) March 31st. B) April 31st. C) April 1. D) January 1. Show Answer Correct Answer: C) April 1. 5. A compulsory payment by citizens to the government without expecting any direct benefit is called A) Tax Revenue. B) Non Tax Revenue. C) Direct Tax. D) Indirect Tax. Show Answer Correct Answer: A) Tax Revenue. 6. What is the main cause of increase mobility of sports franchises. A) Increased market power and popularity of franchises. B) Increased public funding. C) Franchises being seen as centerpieces of urban development. D) None of above. Show Answer Correct Answer: C) Franchises being seen as centerpieces of urban development. 7. If the overall price level decreases we have ..... A) Inflation. B) Stagnation. C) Deflation. D) None of above. Show Answer Correct Answer: C) Deflation. 8. Which of the following is an example of a social expenditure of public finance in the Philippines? A) Construction of a new highway. B) Payment of salaries to government employees. C) Purchase of military equipment. D) Provision of healthcare services to the public. Show Answer Correct Answer: D) Provision of healthcare services to the public. 9. Which of the following is not an assumption of the principle of MSA? A) All taxes result in sacrifice. B) All public expenditures lead to benefit. C) Public revenue consists only of taxes. D) The budget may be in surplus or deficit. Show Answer Correct Answer: D) The budget may be in surplus or deficit. 10. Something that you buy cheaply or less than its usual price A) Sale. B) A discount. C) A bargain. D) Sales. Show Answer Correct Answer: C) A bargain. 11. What are two automatic stabilizers embedded in fiscal policy? A) Taxes and revenues. B) Taxes and savings. C) Taxes and spending. D) None of above. Show Answer Correct Answer: C) Taxes and spending. 12. Budget deficit is calculated by A) Total Revenue-Total Expenditure. B) Total Revenue* Total Expenditure. C) Total Revenue %Total Expenditure. D) Total Revenue +Total Expenditure. Show Answer Correct Answer: A) Total Revenue-Total Expenditure. 13. The finances of the government, which gives a complete picture of the government's income, expenditure, and debt management is called A) Personal finance. B) Private finance. C) Public finance. D) Corporate finance. Show Answer Correct Answer: C) Public finance. 14. People's deposits at financial institutions Combined with which symbol is equal to M3? A) M1. B) One hundred. C) M0. D) What. Show Answer Correct Answer: D) What. 15. Taxes on consumption (or use) ..... could be ..... A) Sales taxes. B) Excises taxes. C) All relate to taxes on consumption!. D) Value-added taxes. Show Answer Correct Answer: C) All relate to taxes on consumption!. 16. Which tax is an indirect tax that is collected only from the consumption of specific goods or services, such as alcoholic beverages, etc.? A) VAT. B) Excise tax. C) Internal Revenue Tax. D) Customs duty. Show Answer Correct Answer: B) Excise tax. 17. Surplus A) The amount by which a government's revenues exceeds its spending in a given year. B) The amount that a government owes to those who have loaned it money. C) The amount by which a government's spending exceeds its revenues in a given year. D) None of above. Show Answer Correct Answer: A) The amount by which a government's revenues exceeds its spending in a given year. 18. A budget allows the government to regulate the imposition of taxes in various sectors. Investment and expenditure are some of the most prominent factors contributing to the growth of a nation's economy. A) Proper resource pool allocation. B) Ensuring economic growth. C) Growth of business and trading. D) Mitigating economic divide. Show Answer Correct Answer: B) Ensuring economic growth. 19. A higher tax is imposed on luxury goods and services used by the rich; and a lower tax on goods and services used by the common people. This is called as A) High income group. B) Low income group. C) Medium income group. D) Progressive Taxation. Show Answer Correct Answer: D) Progressive Taxation. 20. There are at least how many causes of the inflation problem? A) 4 things. B) 3 things. C) 2 things. D) 1 thing. Show Answer Correct Answer: C) 2 things. ← PreviousNext →Related QuizzesPublic Finance Quiz 1Public Finance Quiz 2Public Finance Quiz 3Public Finance Quiz 4Public Finance Quiz 5Public Finance Quiz 6Public Finance Quiz 7Public Finance Quiz 9Public Finance Quiz 10Public Finance Quiz 11 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books