Question

How is working capital provided by banks calculated under the Turnover Method?

Q: Answer-How is working capital provided by banks calculated under the Turnover Method?

Banks provide working capital equal to 20 of the projected annual turnover under the Turnover Method recommended by the Nayak Committee to simplify access for MSMEs with smaller credit needs.

A 10% of turnover

B 15% of turnover

C 20% of turnover

D 25% of turnover

E 30% of turnover

Practice Next

More Accounts Questions

Company’s cash book shows ₹1,20,000 (CR) as at year-end. Bank statement shows ₹1,05,000 (CR). Outstanding cheques total ₹20,000 and deposits-in-transit sta...
Customer acquisition costs (agent commissions) for one-year policies are paid upfront. Can they be capitalized as intangible assets?
If a company uses LIFO inventory method in falling price environment (prices decreasing), then:
Which of the following is NOT an advantage of Bonus issue by a company?
The 'CAG' stands for:
If ₹10,000 is invested at 10% p.a. compounded annually, what will be the amount after 2 years?
Under the Straight-Line Method of depreciation, depreciation is:
_______ is also known as General Ledger Adjustment Account.
According to Payment of Bonus (Amendment) Rules, 2019, Every employer shall, on or before the ______ in each year, upload unified annual return in Form D o...
X Ltd. forfeited 100 shares of ₹10 each, issued at a premium of ₹2 per share, for non-payment of final call of ₹3 per share (including premium). What is th...

Relevant for Exams:

SIDBI Grade A (Assistant Manager)

Hey! Ask a query

How is working capital provided by banks calculated under the Turnover Method?

Detailed Solution

More Accounts Questions

Relevant for Exams:

Hey! Ask a query

Please Register/Login