Question

Financial assistance by the Government of USA for promoting girl education in India.

Hint:

Revenue receipts are regular inflows that do not impact assets or liabilities, whereas capital receipts involve transactions that alter the financial structure of the government.

Answer 1

Classification: Financial assistance from a foreign government is classified as a Revenue Receipt. 
Justification: 
- Such assistance does not create liabilities or reduce government assets. 
- It is a one-time inflow meant for specific purposes like social development, and it does not impact the financial position of the country. Conclusion: Since this assistance is not a loan and does not alter the government's asset base, it qualifies as a revenue receipt.