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    Question

    In Cash Reserve Ratio, the amount of reserve requirement

    is calculated as a percentage of? 
    A Deposits of the bank Correct Answer Incorrect Answer
    B Loans and advances of the bank Correct Answer Incorrect Answer
    C Capital of the banks Correct Answer Incorrect Answer
    D Total liabilities of the bank Correct Answer Incorrect Answer
    E All of the above Correct Answer Incorrect Answer

    Solution

    CRR and SLR is computed against the NDTL – Net Demand and Time Liabilities of the bank. NDTL includes deposits and other liabilities of the bank. 

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