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Consider the liquid assets

Consider the liquid assets :
1). Demand deposits with the banks
2). Time deposits with the banks
3). Saving deposits with the banks
4). Currency
The correct sequence of these assets in the decreasing order of liquidity is

(a)

1-4-3-2

(b)

4-3-2-1

(c)

2-3-1-4

(d)

4-1-3-2

Answer:

(d)

Core Books/NCERT

Explanation

Liquidity of currency is highest. Next will come demand liabilities, as they have to be cleared when demanded. Next savings and least liquidity will be of time deposits