Question : The currency note in India is a:
Option 1: Promissory note
Option 2: Cheque
Option 3: Demand draft
Option 4: Bill of exchange
Correct Answer: Promissory note
Solution : The correct answer is The currency note in India is (a) Promissory note.
A currency note is a form of legal tender issued by the central bank of a country, in this case, the Reserve Bank of India (RBI). It is a promissory note issued by the RBI, which means it is a promise to pay the bearer the specified amount mentioned on the note. Currency notes are widely accepted as a medium of exchange for goods and services within the country. Individuals can use currency notes to make purchases, settle debts, and conduct transactions in India. Therefore, the correct answer is option a. Promissory note.
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Question : Which of the following is not an example of fiat money in India?
Option 1: INR 500 currency note
Option 2: INR 200 bank cheque
Option 3: INR 20 coin
Option 4: INR 10 coin
Question : The Indian Government launched Incredible India campaign to promote tourism in India? How it will impact the exchange rate?
Option 1: Appreciation of domestic currency
Option 2: Outflow of foreign exchange
Option 3: Depreciation of domestic currency
Option 4: None
Question : The Foreign Exchange Regulation Act was replaced by the ______ in India.
Option 1: Foreign Exchange Currency Act
Option 2: Foreign Exchange Finances Act
Option 3: Foreign Exchange Funds Act
Option 4: Foreign Exchange Management Act
Question : Which of the following is not a function of the Reserve Bank of India?
Option 1: Controlling inflation
Option 2: Regulating foreign exchange
Option 3: Issuing currency notes
Option 4: Regulating the stock market
Question : Which of the following is not a function of the Reserve Bank of India (RBI)?
Option 1: Issuing currency notes
Option 2: Regulating the banking system
Option 3: Regulating the securities market
Option 4: Managing the foreign exchange reserves of India
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