Question:medium

In a hypothetical economy, the Cash Reserve Ratio (CRR) is \(20\%\) and the initial deposit is \(\₹100\). How much money can the bank lend in the first round?

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If CRR is \(20\%\), then bank keeps \(20\%\) as reserve and lends the remaining \(80\%\).
Updated On: May 13, 2026
  • \(\₹80\)
  • \(\₹100\)
  • \(\₹120\)
  • \(\₹90\)
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The Correct Option is A

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