1. States earn maximum revenue through-

2. Which of the following taxes are levied by centre and not divided between the Centre and States?

1. Income tax
2. Union excise duties
3. Custom duties
4. Corporation tax

3. The maximum effect of direct taxes is on-

4. Which one of the following taxes is levied by the State Government only

5. Zero based budgeting (ZBB) lays emphasis in 

1. Unlimited deficit financing
2. Preparing new budget right from the scractch

3. Preparing the budget neglecting history

6. Which of the following are indirect taxes?

1. Custom duties
2. Excise duties
3. Sales tax
4. Estate duty

7. Which of the following agency effectively control the income and expenditure of central government ?

1. Comptroller and Auditor General of (GAG)
2. Public Accounts Committee (PAC)
3. Estimates Committee

8. Consider the following Assertion (A) and Reason (R) and choose the correct answer given below- 

Assertion (A): Sales of spurious and substandard drugs and under-reporting of sales by firms a com- mon phenomenon in India.

Reason (R): India’s pharmaceuticals sector generates a large quantity of unaccounted income.

9. The ‘Ad hoc Treasury Bill System’ of meeting budget deficit in India was replaced by ‘Ways and Means Advances System’ which has come into force on-

10. Which of the following indicators can be used to identify the sector which is/are more prone to generate or utilize unaccounted income.

1. Backward and forward linkages based input-output framework

2. Proportionate share of informal sector in the economy

3. Sectors flagged by different government agencies (Such as CBI)