Official Answer Key & Detailed Solution
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Correct Answer: Option (B) — 1 and 2 only
Concept & Option Breakdown
Standard Reference VerifiedHome Charges referred to the expenditures incurred in England on India's account by the Secretary of State for India. They included:
- Maintenance and salaries of the India Office in London (Statement 1 is correct).
- Pensions and furloughs of civil and military officers who served in India (Statement 2 is correct).
- Guaranteed interest on British capital invested in Indian railways and public debt.
Funding for imperial wars fought outside India was officially budgeted under military expenditure and imperial accounts rather than categorized directly under standard Home Charges.
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