Description : If the money multiplier is 4, what is the required reserve ratio (RRR)?
Last Answer : 25 percent
Description : (ii) \( \left( A ^{-1}\right)^{-1}= A \).22. Verify : \( A(\operatorname{adj} \cdot A)=(\operatorname{adj} \cdot A) A=|A| I \) when(i) \( A=\left[\begin{array}{rrr}1 & -2 & 2 \\ 2 & 3 & 5 \\ -2 & 0 & 1\end{array}\right] \)
Last Answer : (ii) \( \left( A ^{-1}\right)^{-1}= A \). 22. Verify : \( A(\operatorname{adj} \cdot A)=(\operatorname{ ... 3 & 5 \\ -2 & 0 & 1\end{array}\right] \)
Description : Scheduled banks are required to keep cash reserve with RBI, interms of _______ A. Section 24 of the Banking Regulation Act, 1949 B. Section 20 of the Banking Regulation Act, 1949 C. Section 42(i) of the RBI Act, 1934 D. Section 42 of Negotiable Instruments Act
Last Answer : C. Section 42(i) of the RBI Act, 1934 Explanation: Every bank included in the Second Schedule shall maintain with the Bank an average daily balance the amount.
Description : To become BBPOUs, Banks and non-bank entities are mandatorily required to apply for approval / authorisation to Reserve Bank of India under ________ A. Payment and Settlement Systems (PSS) Act 2007. B. Foreign ... Act, 1999 C. Banking Regulation Act, 1949 D. SARFAESI Act, 2002 E. None of the Above
Last Answer : A. Payment and Settlement Systems (PSS) Act 2007. Explanation: To become BBPOUs, Banks and non-bank entities are mandatorily required to apply for approval / authorisation to Reserve Bank of ... PSS) Act 2007. Bharat Bill Payment Operating Units (BBPOUs) will be the authorised operational units.
Description : If the cash-reserve ratio is lowered by the Central bank, what will be its effect on credit creation? -General Knowledge
Last Answer : The answer is 'Increase'
Description : If the cash-reserve ratio is lowered by the Central bank, what will be its effect on credit creation? -Do You Know?
Last Answer : answer:
Description : Question: 3 \( A \) and \( B \) are partners sharing protits in the ratio of \( A 5 / 10, B 3 / 10 \) and transfer to reserve 210 .
Last Answer : Question: 3 \( A \) and \( B \) are partners sharing protits in the ratio of \( A 5 / 10, ... s A / c \) to be rendered to his legal representatives.
Description : Variation in Cash Reserve Ratio and Open Market Operations are instruments of (1) Budgetary policy (2) Trade policy (3) Fiscal policy (4) Monetary policy
Last Answer : (4) Monetary policy Explanation: Bank Rate Policy, open market operations and variation of Cash Reserve Ratios, etc. are instruments of monetary policy. With the help of these instruments, the ... money, often targeting a rate of interest for the purpose of promoting economic growth and stability.
Description : The Cash Reserve Ratio is a tool of : (1) Monetary policy (2) Tax policy (3) Agricultural policy (4) Fiscal policy
Last Answer : (1) Monetary policy Explanation: Cash Reserve Ratio (CRR) is a specified minimum fraction of the total deposits of customers, which commercial banks have to hold as reserves either in cash or as ... CRR is a crucial monetary policy tool and is used for controlling money supply in an economy.
Description : If he Central Bank wants to encourage an increase in the supply of money and decrease in the cost of borrowing money, it should - (1) lower cash reserve ratio (2) raise discount rates (3) sell government securities (4) All of the above
Last Answer : (1) lower cash reserve ratio Explanation: When the Central Bank of a country intends to increase money supply, it should lower the Cash Reserve Ratio. A decrease in CRR helps the commercial banks to ... the amount of Bank deposits and they will lend more as they have more amount as their reserve.
Description : The smaller the Cash Reserve Ratio, the scope for lending by banks is : (1) greater (2) smaller (3) weaker (4) lesser
Last Answer : (1) greater Explanation: Cash Reserve Ratio is a regulation set by Central bank (RBI in India) which dictates the minimum amount (reserves) (hata commercial bank must be held to customer notes and deposits ... banks to hold a lesser proportion of (heir deposits in the form of deposits with the RBI.
Description : The ratio of a bank's cash holdings to its total deposit liabilities is called the - (1) Variable Reserve Ratio (2) Cash Reserve Ratio (3) Statutory Liquidity Ratio (4) Minimum Reserve Ratio
Last Answer : (2) Cash Reserve Ratio Explanation: Cash Reserve Ratio (CRR) is the amount of funds that the banks have to keep with the RBI. If the central bank decides to increase the CRR, the avail-able amount with the banks comes down. The RBI uses the CRR to drain out excessive money from the system.
Description : ___________ can be used as a standard to measure the efficiency of an economy 1. Cash reserve ratio 2. Exchange rate ratio 3. Incremental capital output ratio 4. Profit ratio 5. None of these
Last Answer : Incremental capital output ratio
Description : What is the Cash Reserve Ratio (CRR)? a) the fraction of the deposits that commercial banks lend to the customers b) the fraction of the deposits that RBI must keep with commercial banks c) the fraction of the deposits that commercial banks must keep with RBI d) none of the above
Last Answer : c) the fraction of the deposits that commercial banks must keep with RBI
Description : Pick out the wrong statement. (A) Net worth means paid up share capital and reserve & surplus (i.e. shareholders equity) (B) Return on equity = profit after tax/net worth (C) Working ... /net working capital (D) Total cost of production is more than net sales realisation (NSR) at breakeven point
Last Answer : (D) Total cost of production is more than net sales realisation (NSR) at breakeven point
Description : the ratio of gross annual sales to the fixed capital investment is termed as the __________ ratio. (A) Cash reserve (B) Capital (C) Turnover
Last Answer : (C) Turnover
Description : The ratio of the average load to the installed capacity of the plant whose reserve capacity is zero will be equal to (A) Load factor (B) Plant factor (C) Utilisation factor (D) Both (A) and (B)
Last Answer : Answer: Option D
Description : Which among the following is not the instrument of monetary policy A. Deficit financing B. Statutory liquidity Ratio C. Cash reserve ratio D. Open market operation
Last Answer : A. Deficit financing
Description : CRR means (a) Cash Reserve Ratio ; (b) Current rate of return ; (c) Cumulative rate of return; (d) Current rate of Rupee
Last Answer : (a) Cash Reserve Ratio ;
Description : If RBI reduces the cash reserve ratio, the credit creation will A) No impact B) Decrease C) Increase D) None of the above
Last Answer : Answer: C
Last Answer : Monetary policy
Description : If the Central Bank wants to encourage an increase in the supply of money and decrease in the cost of borrowing money, it should (1) lower cash reserve ratio (2) raise discount rates (3) sell government securities (4) All of the above
Last Answer : lower cash reserve ratio
Last Answer : greater
Description : The ratio of a bank’s cash holdings to its total deposit liabilities is called the (1) Variable Reserve Ratio (2) Cash Reserve Ratio (3) Statutory Liquidity Ratio (4) Minimum Reserve Ratio
Last Answer : Cash Reserve Ratio