Question

The act of legally binding the government to make payment for goods and services:

Answer 1

Answer: Option (A) is correct.

Explanation:

An obligation is known as an assurance that obligates the state to legal accountability for the payment of commodities or services. It is a legally binding promise by the government that further will result in outlays such as to pay for commodities, studies, services either immediately or in future. In order for the obligations to incur legally, budgetary resources should be available.