prerequisites for attempting the below MCQ - Multiple Choice Questions are
1. Attempt all the questions
2. Submit your answers to see your marks and the correct answers for wrong questions, if any.
All the Best.
Designed to help the candidates appearing the Appendix 3, LDCE, 70% etc of Railway Accounts
Story Behind MCQ
Source: General Expenditure Question Paper of Appendix2 Exam 2023 of WR - MCQ No.16
Q. Material At Site account is a _________ head
Major B. Minor C. Final D. Suspense
The Correct answer is D.
Now it's time to check why A, B & C are not correct Answers. Also we should know, to make A, B, & C correct answers, what would be the Questions.
With that, We can acquire good knowledge and also be ready to face other questions.
Let's check:
Major Head: It is a top level (of 6 levels) in hierarchy of classification of Government expenditure
Structure of Booking of expenditure / earnings in Indian Railways
Hierarchy | Example: HRA of PFA | Description | ||
Major Head | 3002 | Indian Railways Commercial Lines - Working Expenses | ||
SMH - Sub Major Head | 01 | General Superintendence & Services | ||
MH -Minor Head | 200 | Financial Management | ||
Sub Head ( Subordinate Head) | 210 | Accounts | ||
Detailed Head | 211 | Officers | ||
Object Head ( PU -Primary Unit) | 04 | HRA - House Rent Allowance |
Final Allocation / classification of HRA of PFA - 03-0211-04
Note: Still, allocation/classification structure aligns with erstwhile Demand No. 03 - for Sub Major Head 01 -" General Superintendence & Services"
Nearly 500 Major Heads exist in Government Accounts
Important Major Heads in Indian Railways (within brackets are Erstwhile Demand Numbers)
Revenue Receipts X,Y & Z | Revenue Working Expenses (3 to 14) | Capital Expenditure (16) | |
Commercial Lines | 1002 | 3002 | 5002 |
Strategic Lines | 1003 | 3003 | 5003 |
Strategic lines existed in 4 Zonal Railways i.e., NR, NFR, NWR & WR
Important Major Heads pertaining to Indian Railways
Major Head | Description |
0021 | Income Tax |
0049 | Interest Receipts (on HBA, Scooter Advance etc) |
1001 | Indian Railways-Miscellaneous Receipts |
1002 | Indian Railways-Commercial Lines- Revenue Receipts |
1003 | Indian Railways-Strategic Lines-Revenue Receipts |
3001 | Indian Railways-Policy Formulation, Direction, Research, and other Miscellaneous Organisation |
3002 | Indian Railways-Commercial Lines-Working Expenses |
3003 | Indian Railways-Strategic Lines-Working Expenses |
3004 | Indian Railways-Open Line Works (Revenue) |
3005 | Payments to General Revenues (Dividends etc) |
3006 | Appropriation from Railway Surplus |
3007 | Repayment of Loans taken from General Revenues |
5002 | Capital Outlay on Indian Railways-Commercial Lines |
5003 | Capital Outlay on Indian Railways-Strategic Lines |
7002 | Loans to Railways (to funds like DF, Capital Fund etc) |
7610 | Loans to Govt Servants (HBA, Motor Cycle, Computer etc) |
8009 | SRPF - State (Railway) Provident Fund |
8011 | Insurance and Pension Funds (CGEIS -Central Govt Employees Insurance Scheme) |
8115 | Depreciation/Renewal Reserve Funds (DRF) |
8121 | General and other Reserve Funds (SBF) |
8337 | Deposits of Railways |
8445 | Deposits |
8660 | Suspense Accounts -Railways (PAO- Pay & Accounts Office suspense, RBS- Reserve Bank Suspense, PSB - Public Sector Bank Suspense etc) |
8670 | Cheques & Bills |
8671 | Departmental balances |
8672 | Permanent Cash Imprest (Imprest held with Executive Officers) |
8675 | Deposits with Reserve Bank |
8677 | RIB - Remittances Into Bank |
8787 | Adjusting Account with Railways |
8790 | Accounts with States etc. (Railways) |
8797 | Exchange Accounts (Transfer Transactions) |
Minor Head: It is a 3rd level (of 6 levels) in the hierarchy of classification of Government expenditure.
Example: 05-0313-01
Here Minor Head is 300. Other examples are 100, 200, 300 ……. 900.
Maximum 9 Minor Heads are possible in each and every Sub Major Head / erstwhile Demand.
In all erstwhile Demands (except 03) , Minor Head 900 is dedicated for Credits and Recoveries.
In Erstwhile Demand No. 03, Sub Heads 190,290,390…..990 are dedicated for Credits and Recoveries.
Revenue Allocation | |||||||
1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
D.No | Minor Head/Sub Head/Detailed Head | Primary Unit/Object of expenditure | |||||
0 | 5 | 0 | 3 | 1 | 3 | 0 | 1 |
Final Heads: All Revenue and Capital Heads are called Final Heads. Suspense Heads are not come under Final Heads.
Suspense Heads:
What is Suspense?
Suspense Heads are operated in accounts for facilitating proper accountal of various transactions, which cannot be booked to final heads immediately, for want of allocation or other reasons .
Transactions in suspense Heads are held temporarily pending clearance by payment or recovery or adjustment to the Heads of accounts.
Examples are MAR, DP, Traffic, Labour, Deposit, Cheques & Bills, R etc