Question

Consider the following components:
1) Notes in circulation
2) Circulation of rupee coins
3) Circulation of small coins
4) Cash on hand with banks
Which of the components given above is/are part of the currency with the public?

• A. Only 2
• B. 1, 2 and 3
• C. 2, 3 and 4
• D. All of these

Answer 1

The correct option is D All of these

Currency with the public comprises of all the paper currency, coin currency and demand deposits held by the public. Thus, all the components given in the question are part of currency with public.