The correct answer is A) Capital Expenditure.
Capital expenditure is a type of expenditure that is used to acquire or improve fixed assets, such as land, buildings, and equipment. It is a long-term investment that is expected to provide benefits for many years to come.
Revenue expenditure is a type of expenditure that is used to pay for current operating expenses, such as salaries, wages, and supplies. It is a short-term expense that is not expected to provide benefits for many years to come.
Subsidies are payments made by the government to businesses or individuals to encourage them to produce or consume certain goods or services. They are a form of government intervention in the economy.
Grants are payments made by the government to individuals or organizations to support their activities. They are a form of government assistance.
In the case of a government expenditure aimed at improving public infrastructure, the correct answer is A) Capital Expenditure. This is because capital expenditure is a long-term investment that is expected to provide benefits for many years to come. Public infrastructure, such as roads, bridges, and schools, is essential for the functioning of a modern economy. By investing in public infrastructure, the government can improve the quality of life for its citizens and attract businesses and investment.