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Social Science — CBSE Class 10 board question

Q1. [1]
Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements carefully and choose the correct option. Assertion (A) : Rupees is accepted as medium of exchange in India. Reason (R) : The World Bank legalises the use of rupee as a medium of payment in India.
  1. A Both (A) and (R) are correct and (R) is the correct explanation of (A).
  2. B Both (A) and (R) are correct, but (R) is not the correct explanation of (A).
  3. C (A) is correct, but (R) is incorrect.
  4. D (A) is incorrect, but (R) is correct.
Previously asked in CBSE board exam
2025 32/6/1 Q5
Generated by claude-sonnet-4-6 · 2026-06-15 06:55 · grounding rag
Model Answer

Option C — (A) is correct, but (R) is incorrect.

Assertion (A) is correct. However, it is the Indian law (not the World Bank) that legalises the use of rupee as a medium of payment in India. The Reserve Bank of India issues currency notes on behalf of the Central Government.

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Explanation

The passage clearly states: "the law legalises the use of rupee as a medium of payment." The World Bank has no role in legalising India's currency. The RBI issues currency notes on behalf of the Central Government. Examiners expect students to identify this factual error in the Reason — the authority is Indian law/RBI/Central Government, not the World Bank.

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Previous-year CBSE Grade 10 board exam questions, organised by subject and chapter, each with a model answer — free to read and print.