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Free download in PDF Public Finance Multiple Choice Questions and Answers for competitive exams. These short objective type questions with answers are very important for Board exams as well as competitive exams like UPSC, NDA, SSC etc. These short solved questions or quizzes are provided by Gkseries./p>
(1)
These are principles of taxation:
[A]
Principle of equality
[B]
Principle of certainty
[C]
Principle of secrecy
[D]
Both (a) & (b)
(2)
In Pakistan, taxes are levied by:
[A]
Prime minister of Pakistan
[B]
President of Pakistan
[C]
Federal cabinet of ministers
[D]
National assembly
Answer: National assembly
(3)
Which of the following tax is best example of ability to pay principle of taxes:
[A]
Excise tax on cigarettes
[B]
Highway toll tax
[C]
Proportional sales tax
[D]
Personal income tax
Answer: Personal income tax
(4)
Govt. taxing and spending policies are called:
[A]
Monetary policy
[B]
Fiscal policy
[C]
Commercial policy
[D]
Finance policy
(5)
Govt. budget is balanced when:
[A]
Govt. expenditure outstrips tax receipts
[B]
Govt. tax receipts outstrips expenditure
[C]
Government expenditure equals tax revenue
[D]
None of the above
Answer: Government expenditure equals tax revenue
(6)
Government finance is called:
[A]
National finance
[B]
Public finance
[C]
Private finance
[D]
(a) and (b) of above
(7)
How the government can meet its expenditure:
[A]
By taxing people
[B]
By borrowing from banks and other governments
[C]
By printing new money
[D]
By all the three methods
Answer: By all the three methods
(8)
The government can collect funds from:
[A]
Taxes
[B]
Fees
[C]
Prices of public goods
[D]
All the three
(9)
A direct tax is that which:
[A]
Is heavy burden on the tax payers
[B]
Can be directly deposited in the banks
[C]
Can not be evaded
[D]
Is paid by the person on whom it is levied
Answer: Is paid by the person on whom it is levied
(10)
In Pakistan government budget is prepared by:
[A]
National Assembly
[B]
President of Pakistan
[C]
Ministry of Finance
[D]
State Bank of Pakistan
Answer: Ministry of Finance
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