With reference to the Union Budget, which of the following is/are covered under Non-Plan Expenditure? 1. Defence expenditure 2. Interest payments 3. Salaries and pensions 4. Subsidies Select the correct answer using the code given below.

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Correct answer: 1, 2, 3 and 4. Planned expenditures are defined as the ex- pend-iture on the programmes that are mentioned in our country’s current five-year plan. For example, electricity, wa- ter, communication, transportation, agriculture and other activi- ties, social services, etc. In simple terms, the Expenditure Report shows the expenditures made by Central Aid for state and federal needs and items under the Central Plan. In the context of the Union Budget of India, Non-Plan Expen- diture refers to all expenditures of the government that are not part of the Five-Year Plans. This classification was used prior to 2017, after which the distinction between Plan and Non- Plan Expenditure was removed. Non-Plan Expenditure includes both developmental and non-developmental spending and is of- ten obligatory in nature. The major components of Non-Plan Expenditure are: 1. Defence Expenditure: This includes spending on the armed forces, procurement of defense equipment, and other related activities. 2. Interest Payments: These are payments made by the government to service its debt, both

With reference to the Union Budget, which of the following is/are covered under Non-Plan Expenditure?1. Defence expenditure2. Interest payments3. Salaries and pensions4. SubsidiesSelect the correct answer using the code given below.

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With reference to the Union Budget, which of the following is/are covered under Non-Plan Expenditure?1. Defence expenditure2. Interest payments3. Salaries and pensions4. SubsidiesSelect the correct answer using the code given below.

Practice more Economy PYQs

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