Feudatory states, also known as princely states, were characterized by:

The correct answer is: d) All of the above

Feudatory states, also known as princely states, were Indian states that were under British suzerainty but had a great deal of internal autonomy. They were characterized by nominal independence under British suzerainty, revenue collection rights, and maintenance of local armies.

• Nominal independence under British suzerainty means that the princely states were technically independent but were under the control of the British. The British had the right to interfere in the internal affairs of the princely states and could depose their rulers.
• Revenue collection rights means that the princely states had the right to collect taxes from their subjects. This gave them a significant source of income and allowed them to maintain their own armies and governments.
• Maintenance of local armies means that the princely states had their own armies. This was necessary for their own defense and also to maintain order within their borders.

The princely states were abolished in 1947 when India gained independence. However, their legacy continues to be felt in India today. Many of the former princely states have now become states of the Indian Union, but they still retain some of their unique cultural and historical traditions.