Choose the correct option

1. Optional functions of Government :
a) Protection from external attack
b) Provision of education and health services
c) Provision of social security measures
d) Collection of tax
Options:
1) b and c
2) a, b and c
3) b, c and d
4) All of the above
Ans:- 1) b and c

2. Obligatory functions of the Government:
a) Provision of employment
b) Maintaining internal law and order
c) Welfare measures
d) Exporting goods and services
Options: 
1) c and d
2) a and b
3) only b
4) a, c and d
Ans:- 3) only b

3. “Definition – Public finance is one of those subjects which are on the borderline between economics and politics.” ……… given by
a) Adam Smith
b) Alfred Marshall
c) Prof. Hugh Dalton
d) Prof. Findlay Shirras
Options :
1) only a
2) only b
3) only c
4) only d
Ans:- 3) only c

4. Non-tax sources of revenue :
a) Direct and Indirect Tax
b) Direct Tax and Fees
c) Fees
d) Special Levy
Options: 
1) b and c
2) a and c
3) a, b, c and d
4) c and d
Ans:- 4) c and d

5. Trends shown by Public expenditure of any Government shows the following trend.
a) Constant
b) Increasing
c) Decreasing
d) Fluctuating
Options: 
1) only a
2) only b
3) only c
4) only d
Ans:- 2) only b

6) Identify the right group of pairs from the given options.

1) i-d ii-c iii-b iv-a
2) i-c ii-d iii-a iv-b
3) i-d ii-c iii-a iv-b
4) i-a ii-b iii-c iv-d
Ans:- 3) i-d ii-c iii-a iv-b