Public Finance Test 04 Mcqs Preparation Online

1. This is principle of taxation?

A. Principle of honesty

B. Principle of morality

C. Principle of secrecy

D. Principle of economy

2. In Pakistan, the authority to levy taxes lies with?

A. President of Pakistan

B. Prime minister of Pakistan

C. Federal cabinet of ministers

D. National assembly

3. Govt. taxing and spending policies are called?

A. Finance policy

B. Commercial policy

C. Monetary policy

D. Fiscal policy

4. Government finance is called?

A. Public finance

B. Official finance

C. National finance

D. (a) & (b) of above

5. Govt. budget is balanced when?

A. None of the above

B. Govt. expenditure is kept to the minimum

C. Govt. income consists of both tax and non-tax income

D. Government expenditure equals tax revenue

6. This is NOT a principle of taxation?

A. Principle of certainty

B. Principle of economy

C. Principle of equality

D. Principle of secrecy

7. The government can meet its expenditure?

A. By borrowing from banks and foreign countries

B. By taxing people

C. By printing new money

D. By all the three methods

8. Mansoor Software Co imported computers and paid import tax. Burden of tax will be on?

A. Retailer

B. Wholesaler

C. Last buyer

D. Importer

9. This tax is a good example of ability to pay principle of taxes?

A. Proportional sales tax

B. Personal income tax

C. Highway toll tax

D. Excise tax on cigarettes

10. It is direct tax?

A. Property tax B.

B. All are indirect taxes

C. Income tax

D. Import tax

Public Finance Test 04 Mcqs Preparation Online

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