Cash Reserve Ratio Formula

Fx Copy
LaTeX Copy
Cash Reserve Ratio can be calculated as a percentage of a bank’s net demand and time liabilities. Check FAQs
CRR=(CRNDTL)100
CRR - Cash Reserve Ratio?CR - Cash Reserves?NDTL - Net Demand & Time Liabilities?

Cash Reserve Ratio Example

With values
With units
Only example

Here is how the Cash Reserve Ratio equation looks like with Values.

Here is how the Cash Reserve Ratio equation looks like with Units.

Here is how the Cash Reserve Ratio equation looks like.

4Edit=(400000Edit1E+7Edit)100
You are here -
HomeIcon Home » Category Financial » Category Financial Institutions Management » fx Cash Reserve Ratio

Cash Reserve Ratio Solution

Follow our step by step solution on how to calculate Cash Reserve Ratio?

FIRST Step Consider the formula
CRR=(CRNDTL)100
Next Step Substitute values of Variables
CRR=(4000001E+7)100
Next Step Prepare to Evaluate
CRR=(4000001E+7)100
LAST Step Evaluate
CRR=4

Cash Reserve Ratio Formula Elements

Variables
Cash Reserve Ratio
Cash Reserve Ratio can be calculated as a percentage of a bank’s net demand and time liabilities.
Symbol: CRR
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Cash Reserves
Cash Reserves is the amount of cash held by the bank with the central bank.
Symbol: CR
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Net Demand & Time Liabilities
Net Demand & Time Liabilities includes payable on demand, such as current and savings accounts, as well as time liabilities, such as fixed deposits and recurring deposits.
Symbol: NDTL
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.

Other formulas in Financial Institutions Management category

​Go Net Worth
NW=TA-TL
​Go Net Interest Margin
NIM=NIIAIEA
​Go Operational Efficiency Ratio
OER=OPEX+COGSNS
​Go Loan Loss Provision Coverage Ratio
LLPCR=EBT+LLPNCO

How to Evaluate Cash Reserve Ratio?

Cash Reserve Ratio evaluator uses Cash Reserve Ratio = (Cash Reserves/Net Demand & Time Liabilities)*100 to evaluate the Cash Reserve Ratio, The Cash Reserve Ratio is a specific amount of cash that banks have to keep as a deposit with the Reserve Bank of India (RBI).The percentage of cash is fixed and has to be followed by every bank. Cash Reserve Ratio is denoted by CRR symbol.

How to evaluate Cash Reserve Ratio using this online evaluator? To use this online evaluator for Cash Reserve Ratio, enter Cash Reserves (CR) & Net Demand & Time Liabilities (NDTL) and hit the calculate button.

FAQs on Cash Reserve Ratio

What is the formula to find Cash Reserve Ratio?
The formula of Cash Reserve Ratio is expressed as Cash Reserve Ratio = (Cash Reserves/Net Demand & Time Liabilities)*100. Here is an example- 4 = (400000/10000000)*100.
How to calculate Cash Reserve Ratio?
With Cash Reserves (CR) & Net Demand & Time Liabilities (NDTL) we can find Cash Reserve Ratio using the formula - Cash Reserve Ratio = (Cash Reserves/Net Demand & Time Liabilities)*100.
Copied!