Budget authority is found in the 12 annual appropriations bills.

Budget authority is found in the 12 annual appropriations bills.

• A. Discretionary Spending
• B. Mandatory Spending
• C. Direct (Mandatory) Spending
• D. Revenue

Answer: (A)

Discretionary spending is funded through the 12 annual appropriations bills. These acts provide budget authority—the legal power to incur obligations and expend funds—for non-entitlement programs and activities for the coming year. Mandatory spending, by contrast, is driven by statutory entitlements and formulas and does not pass through annual appropriations. Revenue is the government’s income, not the source of budget authority. So the statement about budget authority being found in the annual appropriations bills aligns with discretionary spending.

Discretionary spending is funded through the 12 annual appropriations bills. These acts provide budget authority—the legal power to incur obligations and expend funds—for non-entitlement programs and activities for the coming year. Mandatory spending, by contrast, is driven by statutory entitlements and formulas and does not pass through annual appropriations. Revenue is the government’s income, not the source of budget authority. So the statement about budget authority being found in the annual appropriations bills aligns with discretionary spending.