UPSC Prelims Practice Questions — PAC meet calls for closer scrutiny of public spending, quicker action on audit findings

Q1. With reference to the Public Accounts Committee (PAC) of Parliament, consider the following statements: Which of the statements given above is/are correct?

  1. Because the PAC is reconstituted every year, its membership does not run for the full life of a Lok Sabha.
  2. The Rajya Sabha members on the PAC are associated with it; they are not chosen at a joint sitting of both Houses.
  3. A Minister of State may sit on the PAC as long as the accounts of their own Ministry are not being examined.
  • A. 2 and 3 only
  • B. 1 only
  • C. 1 and 2 only
  • D. 1, 2 and 3

Q2. Consider the following statements: Which of the following is correct in respect of the above statements?

  1. For several decades, the chairperson of Parliament's Public Accounts Committee has been a member of the Opposition.
  2. The Lok Sabha Rules of Procedure require the Speaker to appoint as PAC chairperson a member who does not belong to the ruling party or coalition.
  • A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
  • B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
  • C. Statement-I is correct, but Statement-II is incorrect
  • D. Statement-I is incorrect, but Statement-II is correct

Q3. With reference to the relationship between the Comptroller and Auditor General (CAG) and the Public Accounts Committee (PAC), consider the following statements: Which of the statements given above is/are NOT correct?

  1. When a CAG report is delayed, the PAC may audit a Ministry's accounts itself through its own secretariat staff.
  2. CAG reports on the accounts of the Union are submitted to the President, who causes them to be laid before each House of Parliament.
  3. Since the PAC relies mainly on CAG reports, its scrutiny of spending comes after the money has been spent.
  • A. 1 only
  • B. 2 only
  • C. 1 and 3 only
  • D. 2 and 3 only

Q4. A 2026 conference of Public Accounts Committee chairpersons noted that CAG audit reports often reach legislatures years after the money was spent, and that some governments delay placing these reports before the House. Which of the following inferences can be drawn from the above?

  1. Because a legislature's PAC ordinarily takes up an audit report only after it is laid in the House, a delay in tabling postpones legislative scrutiny of its findings.
  2. A government's delay in tabling a report suspends the CAG's authority to audit that government's accounts for later years.
  3. The longer the gap between spending and scrutiny, the harder it becomes to fix individual responsibility for irregularities.
  • A. 1, 2 and 3
  • B. 1 and 3 only
  • C. 1 and 2 only
  • D. 2 and 3 only

Q5. With reference to the financial committees of Parliament, consider the following statements: Which of the statements given above are correct?

  1. The Estimates Committee may suggest alternative policies to bring about efficiency and economy in administration.
  2. The Rajya Sabha has no members on the Estimates Committee.
  3. Unlike the Public Accounts Committee, the Estimates Committee examines the CAG's reports on public sector undertakings.
  4. The Committee on Public Undertakings examines whether public undertakings are managed according to sound business principles and prudent commercial practices.
  • A. 1 and 2 only
  • B. 2, 3 and 4 only
  • C. 1, 2, 3 and 4
  • D. 1, 2 and 4 only

Q6. Which one of the following correctly distinguishes the Estimates Committee of Parliament from the Public Accounts Committee?

  • A. The Estimates Committee examines CAG reports on Appropriation Accounts, while the other committee looks at budget estimates before voting.
  • B. The Estimates Committee is chaired by the Opposition by convention, while the other committee is chaired from the ruling side.
  • C. The Estimates Committee looks at budget estimates to suggest economies, while the other committee examines spending already incurred.
  • D. The Estimates Committee includes members from the Rajya Sabha, while the other committee is drawn wholly from the Lok Sabha.

Q7. With reference to parliamentary control over public expenditure in India, consider the following statements: Which of the statements given above is/are correct?

  1. A demand for excess grant, like the demands for grants in the annual budget, is presented to both Houses of Parliament for voting.
  2. No money can be withdrawn from the Consolidated Fund of India except under an appropriation made by law.
  3. If a Ministry spends more on a service in a financial year than the amount granted, a demand for the excess has to be placed before the Lok Sabha.
  • A. 2 and 3 only
  • B. 3 only
  • C. 1, 2 and 3
  • D. 1 and 2 only

Q8. Consider the following statements: Which of the following is correct in respect of the above statements?

  1. Spending by a Ministry beyond the amount voted for a service is a central concern of the Public Accounts Committee's examination of the Appropriation Accounts.
  2. The Constitution allows money to be withdrawn from the Consolidated Fund of India only under an appropriation made by law, so spending beyond the appropriated amount lacks legislative authority until regularised.
  • A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
  • B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
  • C. Statement-I is correct, but Statement-II is incorrect
  • D. Statement-I is incorrect, but Statement-II is correct