12th Class Economics Money And Banking Question Bank MCQs - Money and Banking

  • question_answer
    What is meant by cash reserve ratio?

    A) Fraction of total deposits kept with banks

    B) Fraction of time deposits kept with banks

    C) Fraction of demand deposits kept with banks

    D) None of the above

    Correct Answer: A

    Solution :

    CRR is the amount of total reserve that each commercial bank must reserve with the central bank.


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