A
1 only
B
2 only
C
Both 1 and 2
D
Neither 1 nor 2
Correct answer: (a) 1 only
Explanation
Statement 1 is correct because cesses are indeed levied for specific purposes and excluded from the divisible pool under Article 270. Statement 2 is incorrect because the Public Accounts Committee (PAC) is a 22-member parliamentary committee, not a 50-member body.
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UPSC has asked this before
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