Question

Identify the correct statements from the following:
(A) When central bank buys securities without any promise to sell them later is called injecting
(B) Open market operations in buying and selling of securities by the commercial bank
(C) Open market operation leads to a change in bank rate
(D) When central bank sells securities without any promise to buy them later is called injecting
(E) RBI influences money supply through open market operations
Choose thecorrect answer from the options given below:

• A. (A) and (E) only
• B. (A) and (D) only
• C. (E) and (D) only
• D. (B) and (C) only

Answer 1

Answer: (A)

(A) and (E) only

Answer 2

The correct option is (A): (A) and (E) only