Which of the following is the official currency used in Peru?

Introduction / Context:
This question belongs to the geography and world economy section, focusing on the currencies of different countries. Learning the official currency of major nations is a staple part of general knowledge preparation, because such questions frequently appear in banking, SSC, railways, and other competitive exams. Here, the country in question is Peru, a South American nation.

Given Data / Assumptions:

• The country is Peru.
• The options include Chilean Peso, Euro, Sol, and Dollar.
• Only one of these is the official currency of Peru.
• We assume that no other local or unofficial currencies are being considered in this basic GK question.

Concept / Approach:
Each option corresponds to a currency used in some country or region. The Chilean Peso is used in Chile. The Euro is used in many European Union member states. Dollar is used in several countries such as the United States and some others. The Sol, more precisely the Peruvian Sol, is the currency associated with Peru. By matching each currency to its primary country or region, we can identify the correct one for Peru.

Step-by-Step Solution:
Step 1: Recall that Peru is a Spanish speaking South American country, and its currency name is not Euro or Dollar in official usage.Step 2: The Chilean Peso belongs to the neighbouring country Chile, not to Peru.Step 3: Euro is the currency of many European nations, mainly in the Eurozone, and is unrelated to Peru in South America.Step 4: The recognised currency of Peru is the Sol, currently called Nuevo Sol or simply Sol depending on the reform period.Step 5: Therefore, choose Sol as the correct answer.

Verification / Alternative check:

Why Other Options Are Wrong:

• Chilean Peso: Official currency of Chile, not Peru. Although Chile is also in South America, its currency is distinct.
• Euro: Currency of many European Union members, especially in the Eurozone. It has no official status as Peru domestic currency.
• Dollar: While Dollars are used in several countries, Peru own legal tender is the Sol, not the Dollar.

Common Pitfalls:
Sometimes candidates confuse neighbouring countries in South America, mixing up their currencies. Another pitfall is to assume that many countries use the Dollar, so it might also be correct for Peru. To avoid such errors, aspirants should make a small table linking each major country with its official currency and revise it regularly.

Final Answer:
The official currency used in Peru is the Sol (Peruvian Sol).