Multiple choice

Legal Tender in India includes

  1. RBI issued notes

  2. Coins and Bank notes

  3. Notes issued by finance ministry

  4. Gold as well as notes
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Legal tender in India consists of currency notes (issued by RBI and Government of India) and coins. While RBI issues the majority of currency notes, the Government of India also issues one rupee notes and coins. All of these are legal tender - meaning they must be accepted for payment of debts. Gold is not legal tender in India.

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