This is no problem. The big cities have plenty of money change places, and most hotels will also change cash. There are also an increasing numbver of ATM machines, most of which accept most types of cards. I wouldn't bother with travellers cheques these days - these can be a hassle to change.

anyhow my question is about what Money and what kind of denominations I should take it in? Should I take travellers cheques or cash? Is it easy to change? can it be changed easy? Any advice welcome.

You cannot get Rupees outside of India (legally) its a closed currency. The easiest way is to take a debit card with free overseas transactions, most Goa regulars use the Nationwide Flex account, (I think the Post Office is free too) pre-load the account with money then draw your money from the ATM as and when you need it, and you can also make purchases via Visa debit. When using your card you will actually get a slightly higher rate than changing cash or travellers cheques.
You can change travellers cheques without a problem but it will be at a lower rate than cash or ATM, I usually withdraw in £100 (8,000 Rps) at a time.

Mids