A: The Consolidated Fund of India is mentioned in Article 266 of the Constitution. R: It includes all revenues received by the Government of India. Choose the correct option. MCQ with Answer and Explanation

A: The Consolidated Fund of India is mentioned in Article 266 of the Constitution. R: It includes all revenues received by the Government of India. Choose the correct option.
A. A is false but R is true
B. A is true but R is false
C. Both A and R are true and R is the correct explanation of A
D. Both A and R are true but R is NOT the correct explanation of A
Answer: Option D
Solution (By JKSSB Mock Tests)
Article 266 of the Constitution establishes the Consolidated Fund of India. It includes all revenues, loans, and repayments. Both are true, but R describes the contents, not the constitutional basis (which is Article 266).

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Practice More Accountancy and Book Keeping Questions

Question #1
In budgetary control, a 'Flexible Budget' is:
A. A budget that is fixed for the period
B. A budget that changes with the level of activity
C. A master budget
D. Only prepared for variable costs

Correct Answer: Option B


Explanation:
Flexible budget adjusts for different levels of output.

Question #2
A business buying machinery pays 18% GST. Can it claim Input Tax Credit (ITC) on this GST?
A. Yes, provided the machinery is used in the course of business
B. No, ITC is only for raw materials
C. No, capital goods are exempted from ITC
D. Yes, but only 50%

Correct Answer: Option A


Explanation:
ITC can be claimed on capital goods (like machinery) used for business purposes, subject to certain conditions in the GST Act.

Question #3
A: Marginal cost is the cost of producing one additional unit. R: Marginal cost includes both fixed and variable costs. Choose the correct option.
A. Both A and R are true and R is the correct explanation of A
B. Both A and R are true but R is NOT the correct explanation of A
C. A is true but R is false
D. A is false but R is true

Correct Answer: Option C


Explanation:
Marginal cost is indeed the cost of producing one additional unit. However, it only includes variable costs, as fixed costs do not change with the level of production in the short term. A is true, R is false.