15
QuizMultiple Choice

Fiscal Policy: Spending — Quiz

Question 15 • Economics

When revenues are higher than expenditures in a budget, that budget

Answer
A
shows a deficit.
B
must be discarded.
C
shows a surplus.
D
is in balance.

Explanation

A budget has a surplus when its revenues exceed its expenditures. Since the budget brings in more money than it spends, it shows a surplus, not a deficit or a balance.

AI-written and checked against the verified answer.

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