Which statement is not true for M3 as a measure of money supply?

M3 = M1 + Saving deposits with a post office savings bank.

The correct answer is Option (4) → M3 = M1 + Saving deposits with a post office savings bank.

1) M3 is known as Aggregate Monetary Resources. True. This is the official term used by the Reserve Bank of India (RBI).

(2) M3 is the most commonly used measure of money supply. True. M3 is the broad measure of money supply used for policy and analysis in India.

(3) M3 = M4 - Total deposits with Post Office savings organizations (excluding National Savings Certificates). True. 

(4) M3 = M1 + Saving deposits with a post office savings bank. False. This actually defines M2, not M3.