Correct Answer:
B. Payments by the government to producers or consumers to reduce the price or cost of goods and services
Subsidies are a form of government expenditure.
November 13, 2026 · Accounting and Finance MCQs, Public Finance & Budgeting MCQs
Subsidies are best defined as:
Related MCQs
Kaizen costing focuses on:
A.
A one-time large cost cut during design
B.
Continuous small cost reductions during the manufacturing stage
C.
Increasing prices every year
D.
Ignoring costs after production begins
Correct answer is:
B. Continuous small cost reductions during the manufacturing stage
Do you agree with this answer?
The cost of installing a new machine in a factory is:
A.
Revenue expenditure
B.
A drawing
C.
Deferred revenue
D.
Capital expenditure
Correct answer is:
D. Capital expenditure
Do you agree with this answer?
The Auditor-General of Pakistan holds office for a term of:
A.
Four years or until the age of sixty-five, whichever is earlier
B.
Two years only
C.
Five years with no age limit
D.
Until the age of seventy
Correct answer is:
A. Four years or until the age of sixty-five, whichever is earlier
Do you agree with this answer?
Standard costing is a technique in which:
A.
Only actual costs are recorded
B.
Costs are ignored
C.
Selling prices are fixed by law
D.
Predetermined costs are compared with actual costs to compute variances
Correct answer is:
D. Predetermined costs are compared with actual costs to compute variances
Do you agree with this answer?
The normal balance of a revenue account is:
A.
Debit
B.
Zero
C.
Depends on the auditor
D.
Credit
Correct answer is:
D. Credit
Do you agree with this answer?
A qualified audit certificate on government accounts may be given when:
A.
The accounts are perfect
B.
The auditor finds material errors or is unable to obtain sufficient evidence on specific items
C.
The department refuses to pay audit fees
D.
The budget is surplus
Correct answer is:
B. The auditor finds material errors or is unable to obtain sufficient evidence on specific items
Do you agree with this answer?
Leave a Reply