Question : From the following data calculate Revenue deficit-
Tax revenue- 1050
Revenue expenditure- 2000
Non-tax revenue- 200
Recovery of loans- 120
Capital expenditure- 500
Disinvestment- 50
Interest payments- 20
Option 1: 550
Option 2: 650
Option 3: 750
Option 4: 850
Correct Answer:
750
Solution :
Revenue deficit= Revenue expenditure- ( tax revenue + non tax revenue)
= 2000-(1050+200)
=750 crore.
Hence Option C is correct.