Consider the following statements about Sinking Fund: 1. It is a method of repayment of public debt. 2. It is created by the government out of budgetary revenues every year. Which of the statements given above is/are correct? [CDS 2011]

Consider the following statements about Sinking Fund: 1. It is a metho

1.	Consider the following statements about Sinking Fund: 1. It is a method of repayment of public debt. 2. It is created by the government out of budgetary revenues every year. Which of the statements given above is/are correct? [CDS 2011]
A.	1 only
B.	2 only
C.	Both 1 and 2
D.	Neither 1 nor 2
Answer» D. Neither 1 nor 2