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    Question

    In Cash Reserve Ratio, the amount of reserve requirement

    is calculated as a percentage of?┬а
    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 тАУ Net Demand and Time Liabilities of the bank. NDTL includes deposits and other liabilities of the bank.┬а

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