Civil Services Exam ask about each and every aspect of the History and Economy of the Current Events and also requires the candidate to know the analysis of the current news. Here we give some questions on Budget for IAS Exam Preparation.
1. Which Department of the Ministry is responsible for the Budget Preparation?
a. Department of Budget Affairs
b. Department of Development Affairs
c. Department of Economic Affairs
d. Department of Estimates
Answer 1. c
Explanation: The Finance Minister presents an annual statement to Parliament of how much money the union government expects to raise in the next financial year and how it will spend that money. This statement is called the union budget. In India, budget is prepared by Department of Economic Affairs of Ministry of Finance.
2. In which year the Railway Budget was separated from the General Budget?
a. 1924
b. 1929
c. 1931
d. 1933
Answer 2. c
Explanation: Acworth Committee in 1921 recommended a separate management for the then Railways which was approximately. A Railway Board was established in 1922 for the said purpose. The railway finances of India were separated from the general government finances in 1924.
The Railway Budget was separated from the General Budget in 1921 on the recommendations of the
Acworth Committee. The reasons or objectives of this separation are as follows:
1. To introduce flexibility in railway finance.
2. To facilitate a business approach to the railway policy.
3. To secure stability of the general revenues by providing an assured annual contribution from
railway revenues.
4. To enable the railways to keep their profits for their own development (after paying a fixed
annual contribution to the general revenues).
3. The word ‘Budget’ came from which language?
a. French
b. Spanish
c. Russian
d. Latin
Answer 3 .d
Explanation: The origin of our word budget is the Latin bulga, a little pouch or knapsack, which may have come from a Gaulish source that’s related to the Irish bolg, “bag”. The word turned up in English in the fifteenth century, having travelled via the French bougette, a diminutive form of bouge, “leather bag”. Its first meaning in English indeed was “pouch, wallet, bag”, and followed its French original in usually implying something made of leather.
4. When did the first budget was presented in India
a. 1879
b. 1862
c. 1869
d. None of the above
Answer 4. c
Explanation: The first Indian Budget was presented by James Wilson on February 18, 1869. Wilson, whose designation was Finance Member of the India Council that advised the Indian Viceroy, was also the founder of The Economist and described by Karl Marx as an "economical mandarin of high standing.
5. Who presented the first Budget of Independent India
a. John Mathai
b. Jawahar Lal Nehru
c. Mahaveer Prasad
d. R. K. Shanmukham Chetty
Answer 5. d
Explanation: Sir Ramasamy Chetty Kandasamy Shanmukham Chetty presented the first Budget of Independent India. He also served as President of India's Central Legislative Assembly from 1933 to 1935. Shanmukham Chetty joined the Justice Party and became a Councillor in the Coimbatore municipality in 1917.
