Question

If the amount of LRR is 20% and the initial deposit is ₹1000 crores, then it will create the total amount of money in the economy equal to ______

पर्याय

• ₹6000 crores

• ₹5000 crores

• ₹7000 crores

• ₹8000 crores

Answer 1

If the amount of LRR is 20% and the initial deposit is ₹1000 crores, then it will create a total amount of money in the economy equal to ₹5000 crores.

Explanation:

If the LRR is 20%, a deposit of ₹1000 crores would result in a total quantity of money in the economy of ₹1000 × 1/0.2 = ₹5000 crores.