Money multiplier depends on:
Options
ACurrency Deposit Ratio
BReserve Deposit Ratio
CBoth a and b
DNone
For any discrepancies in this question, email contact@cadada.in
Money MarketPYQ - Dec 2021 (Inter)Question 148 of 20
All Questions Correct Answer
✅ Option c — Both a and b
All Options:
- ACurrency Deposit Ratio
- BReserve Deposit Ratio
- CBoth a and b
- DNone
About This Chapter: Money Market
Paper
Paper 4: Business Economics
Weightage
10%
Key Topics
Money Demand/Supply, Monetary Policy
This chapter covers the monetary system — how money circulates in the economy. Topics include Demand for Money, Supply of Money, Monetary Policy instruments (Repo Rate, CRR, SLR, Open Market Operations), and the role of the Reserve Bank of India in controlling inflation and managing the economy.
View Official ICAI SyllabusExam Strategy Tip
Memorize the RBI's monetary policy instruments and their impacts. Questions often ask about the effect of changing CRR or Repo Rate on money supply.
Related Comparison Tables
More Questions from Money Market
Ready to Master Money Market?
Practice all 20 questions with instant feedback, earn XP, track your streaks, and ace your CA Foundation exam.
Start Practicing — It's Free