Q1. Which fund is used to pay the administrative expenses of the CAG’s office?
- Contingency Fund of India
- Public Account of India
- Consolidated Fund of India
- National Investment Fund
Correct Option: 3. Consolidated Fund of India.
Explanation: The administrative expenses of the CAG’s office, including staff salaries and pensions, are charged upon the Consolidated Fund of India and are not subject to Parliamentary vote.
Q2. The CAG submits audit reports of the Union Government to:
- Prime Minister
- Finance Commission
- Parliament directly
- President of India
Correct Option: 3. President of India.
Explanation: As per Article 151, the CAG submits his audit reports to the President, who then lays them before both Houses of Parliament.
Q3. The CAG is responsible to:
- The Parliament
- The President
- The Prime Minister
- The Supreme Court
Correct Option: 1. The Parliament.
Explanation: The CAG is an agent of Parliament, not of the executive. He conducts audits on behalf of Parliament and is responsible only to Parliament.
Q4. Which of the following is true about the CAG’s role in practice in India?
- He acts both as Comptroller and Auditor
- He has authority to approve government withdrawals from the Consolidated Fund
- He only acts as Auditor-General, not Comptroller
- He has full control over government budgeting
Correct Option: 3. He only acts as Auditor-General, not Comptroller.
Explanation: Although the Constitution names the office as Comptroller and Auditor General, in practice the CAG does not control fund withdrawals. He audits after the expenditure is made—unlike in the UK, where the CAG must approve withdrawals in advance.
Q5. What type of audit allows the CAG to comment on wastefulness and extravagance of government expenditure?
- Regulatory audit
- Propriety audit
- Revenue audit
- Legal audit
Correct Option: 2. Propriety audit.
Explanation: The propriety audit is a discretionary function where the CAG examines the wisdom, faithfulness, and economy in government spending, and can raise concerns about extravagance and wastefulness.