Class 12 Exam  >  Class 12 Questions  >  Central Bank prints currency in the country.a... Start Learning for Free
Central Bank prints currency in the country.
  • a)
    True
  • b)
    False
  • c)
    Partially true
  • d)
    Can't say
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
Central Bank prints currency in the country.a)Trueb)Falsec)Partially t...
Explanation:

The correct answer is option 'B', false. Here's why:

What is a central bank?

A central bank is a financial institution that is responsible for managing a country's monetary policy and currency supply. It acts as a banker to the government, regulates the country's financial system, and provides financial services to commercial banks.

How is currency printed in a country?

Currency is printed by a government-owned printing press, not by the central bank. The government decides how much currency needs to be printed and provides the printing press with the necessary materials and designs.

What is the role of the central bank in currency supply?

The central bank plays a crucial role in currency supply by managing the money supply in the economy. It does this by regulating the amount of money in circulation, setting interest rates and reserve requirements for commercial banks, and controlling the flow of funds between banks.

The central bank also oversees the production and distribution of currency, ensuring that it is of high quality and difficult to counterfeit. It works closely with commercial banks to ensure that there is enough currency available to meet the needs of businesses and consumers.

Conclusion:

In summary, while the central bank does not print currency, it plays a critical role in managing the supply of money in the economy and ensuring that currency is of high quality and readily available. Therefore, the statement "Central Bank prints currency in the country" is false.
Free Test
Community Answer
Central Bank prints currency in the country.a)Trueb)Falsec)Partially t...
Central Bank don’t directly print currency in the country, it gets it printed by the subsidies of RBI.
Explore Courses for Class 12 exam

Similar Class 12 Doubts

Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer?
Question Description
Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? for Class 12 2024 is part of Class 12 preparation. The Question and answers have been prepared according to the Class 12 exam syllabus. Information about Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for Class 12 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer?.
Solutions for Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for Class 12. Download more important topics, notes, lectures and mock test series for Class 12 Exam by signing up for free.
Here you can find the meaning of Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer?, a detailed solution for Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? has been provided alongside types of Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Central Bank prints currency in the country.a)Trueb)Falsec)Partially trued)Cant sayCorrect answer is option 'B'. Can you explain this answer? tests, examples and also practice Class 12 tests.
Explore Courses for Class 12 exam
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev