Question

The Govt. of India demonetised Rs.500 and Rs.1000 notes from Nov-8, 2016 midnight. It is known that currently there are Rs. 14 Lakh Crores worth of 500 & 1000 notes in circulation in India including fake 500 and 1000 notes. Now, let us assume that those 500 and 1000 notes which are fake or are black will never be deposited in the banks and post offices of India by Dec-30, 2016 as Govt will arrest such people depositing them. From Intelligence sources, the Govt of India knows that for every Rs.100 of white currency in circulation, there is Rs.25 of black currency in circulation. If by Dec-30, 2016, the total money in 500 and 1000 notes deposited in all the banks and post offices of India is Rs.10 Lakh Crores, estimate the amount of fake currency in circulation today assuming all notes deposited are white currency

Answer 1

Answer:

On November 8, 2016, the Modi govt banned the use of old ... lakh crore worth Rs 500 and Rs 1,000 notes in circulation ... The Reserve Bank of India also said it did not have ...