Minimum cash reserves fixed by law constitute ___

A. A percentage of aggregate deposits of the bank

B. A percentage of aggregate loans and advances of the bank

C. A percentage of capital & reserves of the bank

D. None of these

Answer: Option A

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Comments ( 2 )

  1. Anas Ameenu
    Anas Ameenu :
    3 years ago

    A bank has to keep a minimum cash reserve for immediate demand from their customers that is cash reserve ratio required by the RBI.

  2. Baalkrishan Thaman
    Baalkrishan Thaman :
    5 years ago

    Cash reserve ration and good constitute types of measures are need to taken for the transfer.

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