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If Government Has No Debt Initially but Then Annual Revenues

Question 86

Multiple Choice

If government has no debt initially but then annual revenues are $8 billion for 10 years while annual expenditures are $11 billion for 10 years, then the government has a:


A) deficit of $3 billion per year and a debt of $30 billion.
B) surplus of $3 billion per year and a debt of $30 billion.
C) deficit of $30 billion and a debt of $3 billion per year.
D) surplus of $30 billion and a debt of $3 billion per year.

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