Question
Consider the following statements about the Cash
Reserve Ratio (CRR)? I. Under CRR, the banks have to hold a certain minimum amount of deposit as reserves with the central bank. II. The percentage of cash required to be kept in reserves as against the bank's total deposits. III. The cash reserve is either stored in the bank’s vault or is sent to the RBI. Which of the following statements is/are incorrect?Solution
Under cash reserve ratio (CRR), the commercial banks have to hold a certain minimum amount of deposit as reserves with the central bank. The percentage of cash required to be kept in reserves as against the bank's total deposits, is called the Cash Reserve Ratio. The cash reserve is either stored in the bank’s vault or is sent to the RBI.
Which bears the same relationship to the third word as the first two bear to each other.
Botany : plants :: Entomology : ?
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