Question

Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements carefully and choose the correct option. Assertion (A): Rupees is accepted as medium of exchange in India.
Reason (R): The World Bank legalises the use of rupee as a medium of payment in India.

• A. Both (A) and (R) are correct and (R) is the correct explanation of (A).
• B. Both (A) and (R) are correct, but (R) is not the correct explanation of (A).
• C. (A) is correct, but (R) is incorrect.
• D. (A) is incorrect, but (R) is correct.

Hint:

Remember that the RBI, not the World Bank, is responsible for currency regulation in India.

Answer 1

The Correct Option is C

It is accurate that the Indian rupee functions as the medium of exchange in India. However, the statement "The World Bank legalises the use of rupee as a medium of payment in India" is false because the Reserve Bank of India (RBI) regulates the rupee's use. Therefore, the correct answer is option (C).