The Indian rupee is the official currency of India. It is subdivided into 100 paise. The Reserve Bank of India is the central bank of India and is responsible for issuing currency. The rupee is the 13th most traded currency in the world.

Here you are given Multiple Choice Questions (MCQs) on the Indian Currencythe topic of General Knowledge. First of all, you have to read all the GK questions related to Indian Currency and click on one correct answer for each question. If your answer is correct, you will be displayed with a ✅ sign, but if your answer is wrong, a ❌ sign will be displayed, so that you can identify the correct answer you have given.

Q. In how many languages "Gandhi" is written in the new original 100 rupee currency note with the picture of "Mahatma Gandhi"?

 ◉ Three

❌ Incorrect

 ◉ Two (Hindi and English)

✅ Correct

 ◉ Four

❌ Incorrect

 ◉ Five

❌ Incorrect

Q. There are some assets on the back of the currency note of the Reserve Bank of India, the assets should not be less than the prescribed quantity/amount?

 ◉ gold and foreign securities

✅ Correct

 ◉ Silver and domestic securities

❌ Incorrect

 ◉ Both suit

❌ Incorrect

 ◉ None of them

❌ Incorrect

Q. According to which system the Reserve Bank of India issues notes?

 ◉ Maximum affinity system

❌ Incorrect

 ◉ minimum reservation system

✅ Correct

 ◉ Proportional reservation system

❌ Incorrect

 ◉ Fixed fidelity system

❌ Incorrect

Q. During whose reign was the 1 rupee coin minted in India?

 ◉ Ashok Samrat

❌ Incorrect

 ◉ Akbar

❌ Incorrect

 ◉ Sher Shah Suri

✅ Correct

 ◉ Shah Jahan

❌ Incorrect

Q. Who has the sole authority to issue currency (except one rupee notes and coins) in India?

 ◉ to the Reserve Bank of India

✅ Correct

 ◉ Government of India

❌ Incorrect

 ◉ Commerce bank

❌ Incorrect

 ◉ To State Bank of India

❌ Incorrect

Q. When was the Indian currency system decimalized?

 ◉ In 1975 AD

❌ Incorrect

 ◉ In 1972 AD

❌ Incorrect

 ◉ In 1959 AD

❌ Incorrect

 ◉ in 1957

✅ Correct

Q. What is the main cause of inflation in India?

 ◉ deficit budget

✅ Correct

 ◉ Budget of profit

❌ Incorrect

 ◉ Both suit

❌ Incorrect

 ◉ None of them

❌ Incorrect

Q. What is the main function of money to act as?

 ◉ medium of exchange

✅ Correct

 ◉ Rupee

❌ Incorrect

 ◉ Posture

❌ Incorrect

 ◉ None of them

❌ Incorrect

Q. What is the change in money supply in the period of inflation and price rise?

 ◉ increases

✅ Correct

 ◉ Decreases

❌ Incorrect

 ◉ No change comes

❌ Incorrect

 ◉ None of them

❌ Incorrect

Q. When did the use of decimals start in the Indian currency system?

 ◉ In 1966 AD

❌ Incorrect

 ◉ In 1987 AD

❌ Incorrect

 ◉ In 1997 AD

❌ Incorrect

 ◉ in 1957 AD

✅ Correct

Q. How can inflation be stopped?

 ◉ reducing the money supply

✅ Correct

 ◉ Extended

❌ Incorrect

 ◉ Keeping Mudrarapati normal

❌ Incorrect

 ◉ None of them

❌ Incorrect

Q. What is the sum of the currency in circulation with the public and the cash reserve kept in the banks called?

 ◉ Legitimate money

❌ Incorrect

 ◉ compressed currency

✅ Correct

 ◉ Order money

❌ Incorrect

 ◉ High powerful money

❌ Incorrect

Q. What is meant by devaluation of currency?

 ◉ Weakening of the economy

❌ Incorrect

 ◉ decrease in external value of currency

✅ Correct

 ◉ External muli of currency

❌ Incorrect

 ◉ Re -construction of currency

❌ Incorrect

Q. Who has the absolute authority to issue paper note currency in India?

 ◉ Shehri government bank

❌ Incorrect

 ◉ Punjab Bank

❌ Incorrect

 ◉ reserve Bank of India

✅ Correct

 ◉ Bank of India

❌ Incorrect

Q. On what is the present currency system of India based?

 ◉ On the prophet reserve system

❌ Incorrect

 ◉ Prophet reserve system

❌ Incorrect

 ◉ on minimum reserve system

✅ Correct

 ◉ On monetary system

❌ Incorrect


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Indian Currency: History, Languages, and Imporant Facts 🔗

  Last update :  Mon 5 Jun 2023
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  Post Category :  Economics Quizzes