If the value of the Indian rupee weakens due to administrative action, it is called _______ of the rupee.
Correct Answer : b ) DevaluationExplanation :
Recently, Indian rupee has depreciated to an all time low of 77.44 against the US dollar i.e. 1 USD is now equal to Rs. 77.44. Depreciation of Indian rupee implies that rupee has less value with respect to the dollar.
When the value of Indian rupee weakens due to administrative action, it is called devaluation of rupee while, when the value of Indian rupee weakens due to floating exchange rate, it is called depreciation of rupee. However, the impact of both depreciation and devaluation of Indian rupee is same.
Hence, option (B) is correct.
Word Of The Day
Noun: A hard rigid usually large covering of an animal.; The outside part of a fruit or seed.; Something like an external structure that resembles a shell.; A casing without substance.; The hard exterior of an egg.; A hard enclosing cover.
Verb: To take out of the shell.; To fall out of the shell.; To cast the external covering.; To gather shells from a beach.
"My mother collected shells at the beach."View More