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Consider the following statements: I. Capital receipts create a liability or cause a reduction in the assets of the Government. II. Borrowings and disinvestment are capital receipts. III. Interest received on loans creates a liability of the Government. Which of the statements given above are correct?

AI and II only
BII and III only
CI and III only
DI, II and III
Answer & Solution
Correct answer: A. I and II only
UPSC CSE Prelims 2025 (GS-I, Set A), Q.10. Official answer key: A.
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