Which of the following phrases defines the nature of the 'Hundi' generally referred to in the sources of the…

Which of the following phrases defines the nature of the 'Hundi' generally referred to in the sources of the post-Harsha period?
  1. An advisory issued by the king to his subordinates
  2. A diary to be maintained for daily accounts
  3. A bill of exchange
  4. An order from the feudal lord to his subordinates

Solution

Hundis were indigenous financial instruments — bills of exchange used in India for trade, credit and remittance. Answer: (c).

Asked in: UPSC Prelims 2020

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