Correct option is B
During the festive season, the currency deposit ratio (CDR) most likely (b) increases.
Here's why:
CDR: The currency deposit ratio is the ratio of cash held by the public to the total amount deposited in banks.
Festive Season: During festivals, people tend to spend more.
Cash Demand: To meet these increased expenses, people may withdraw cash from their bank accounts, leading to a rise in the amount of currency held by the public.
Deposit Ratio: As the amount of cash held by the public increases relative to the total deposits, the currency deposit ratio increases.
