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Which of the following is a function of the RBI?

Practice Questions

Q1
Which of the following is a function of the RBI?
  1. Issuing currency notes
  2. Setting income tax rates
  3. Regulating the stock market
  4. Managing government budgets

Questions & Step-by-Step Solutions

Which of the following is a function of the RBI?
  • Step 1: Understand what RBI stands for. RBI means Reserve Bank of India.
  • Step 2: Know that RBI is the central bank of India.
  • Step 3: Learn about the functions of the RBI. One important function is to manage the currency in India.
  • Step 4: Recognize that issuing currency notes means the RBI is responsible for printing and distributing money.
  • Step 5: Conclude that one of the key functions of the RBI is to issue currency notes.
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