Currency Inflation Questions and answers

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31). Monetary policy is regulated by :
A). money lenders
B). Central Bank
C). private entrepreneurs
D). Government policy
32). One-rupee currency notes bear the signature of :
A). Prime Minister of India
B). President of India
C). Finance Minister of India
D). Finance Secretary of India
33). Ten rupee notes bear the signature of :
A). President
B). Finance Minister
C). Secretary, Ministry of Finance
D). Governor, Reserve Bank of India
34). When was the decimal system of currency introduced in India?
A). 1948
B). 1950
C). 1954
D). 1957
35). Which of the following prints currency not of the denomination of Rs.100?
A). The Bank Note Press, Dewas
B). The Indian Security Press, Nasik Road
C). The Security Printing Press, Hyderabad
D). All the above


36). The highest denomination of currency notes in circulation as legal tender in India is at present :
A). Rs.50
B). Rs.100
C). Rs.500
D). Rs.1000
37). The special paper required for printing of currency notes by the Security Presses in the country is manufactured at :
A). Hyderabad
B). Kolkata
C). Hoshangabad
D). Dewas
38). Which of the following mints undertakes refining of gold for licensed gold dealers and production of medals for defence services?
A). The Hyderabad Mint
B). The Mumbai Mint
C). The Kolkata Mint
D). None of these
39). The Reserve Bank of India (RBI) acts as a bankers' bank. This would imply which of the following?
1. Other banks retain their deposits with the RBI.
2. The RBI lends funds to the commercial banks in times of need.
3. The RBI advises the commercial banks on monetary matters.
Select the correct answer using the codes given below

A). Only 2
B). 1 and 2
C). 2 and 3
D). All of the above
40). Which of the following measures would result in an increase in the money supply in the economy?
1. Purchase of government securities from the public by the Central Bank.
2. Deposit of currency in commercial banks by the public.
3. Borrowing by the government from the Central Bank.
4. Sale of government securities to the public by the Central Bank.
Select the correct answer using the codes given below

A). Only 1
B). 2 and 4
C). 1 and 3
D). 2, 3 and 4
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Total Pages : 31