1st Year Principles of Economics 4th Quarter Book Paper

Q1. Multiple choice questions (Attempt all · 12 × 1 = 12)

1. A good thing in public finance:

   1. Expenditures are more than income

   2. Income is more than expenditures

   3. Income is equal to expenditures

   4. 2nd and 3rd

2. Which one of the following public expenditures is related to transport:

   1. Police

   2. Defense

   3. Railway

   4. Public education

3. The burden of direct tax is on:

   1. Owners

   2. Consumers

   3. Employees

   4. Workers

4. If the person has to pay the tax on whom it is levied, then it is called:

   1. Direct tax

   2. Indirect tax

   3. Proportional tax

   4. Progressive tax

5. Zakat is part of the present income:

   1. 20th

   2. 30th

   3. 40th

   4. 50th

6. In private finance the individuals estimate their income and expenditures:

   1. Daily

   2. Weekly

   3. Monthly

   4. Yearly

7. Payment of Zakat is compulsory for ...... living in Islamic country:

   1. Every Person

   2. Every Muslim

   3. Only Poor Muslim

   4. Only Sahib-e-Nisab Muslim

8. The tax whose burden can be shifted to the customers, is called:

   1. Proportional tax

   2. Progressive tax

   3. Direct tax

   4. Indirect tax

9. The tax which is levied on the sale of goods is called:

   1. Income tax

   2. Property tax

   3. Gift tax

   4. Sales tax

10. Which one of the following is indirect tax:

    1. Income tax

    2. Property tax

    3. Wealth tax

    4. Sales tax

11. "The study of nature and principles of governments expenditures and revenue is called public finance". This definition is stated by:

    1. Bastable

    2. Armitage Smith

    3. Ricardo

    4. Robbins

12. Public finance and private finance are of each other:

    1. Opposite

    2. Synonymous

    3. Similar & different

    4. Opposite and synonymous