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Which type of money in India is accepted only up to a certain maximum limit in payment?

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Question

Which type of money in India is accepted only up to a certain maximum limit in payment?

Options

  • Fiduciary money like cheques

  • Unlimited legal tender

  • Limited legal tender

  • Digital wallets

MCQ
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Solution

Limited legal tender

Explanation: 

Limited legal tender, such as coins, must be accepted only up to a fixed amount and beyond that it can be refused in payment.

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