Official Answer Key & Detailed Solution
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Correct Answer: Option (B) — 1 and 2 only
Concept & Option Breakdown
Standard Reference VerifiedStatement 1 is correct: Under Article 109, the Rajya Sabha cannot reject or amend a Money Bill; it can only make recommendations within 14 days, which the Lok Sabha is free to accept or reject.
Statement 2 is correct: Under Article 113(2), Demands for Grants are submitted only to the Lok Sabha, and only the Lok Sabha has the power to vote on them.
Statement 3 is incorrect: The Annual Financial Statement (Budget) is laid before both Houses of Parliament under Article 112, and the Rajya Sabha has full power to discuss the budget, even though it cannot vote on demands for grants.
Spot the extreme restriction in Statement 3: While Rajya Sabha cannot vote on demands for grants, disallowing it even to 'discuss' the general budget would contradict the basic bicameral design.
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