New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Rearrange the followingsixsentences a, b, c, d, e and f in the proper sequence to form a meaningful paragraph; then answer the questions based on them. a. According to a joint study by Assocham and Crisil, gross NPAs in the banking system are estimated to increase to ₹9.5 lakh crore by March 2018, from ₹8 lakh crore a year earlier. b. The proceeds from such sales, however, would likely amount to very little in comparison with the mammoth scale of troubled assets. c. In that case, write-offs recognising losses may be the most honest and practical way to deal with the bad loans problem. d. Incidentally, the Prime Minister recently laid the blame for bad loans on the previous government. e. So the RBI in the coming months should continue to push banks, both public and private, to promptly recognise the stressed loans on their portfolios. f. It may be tempting to believe that last year’s bankruptcy law reforms will soon begin to ease the pain at banks by encouraging the quick sale of assets of troubled borrowers.

    Which is the THIRD sentence after

    rearrangement?
    A c Correct Answer Incorrect Answer
    B e Correct Answer Incorrect Answer
    C f Correct Answer Incorrect Answer
    D b Correct Answer Incorrect Answer
    E a Correct Answer Incorrect Answer

    Solution

    INTRODUCTION f. It may be tempting to believe that last year’s bankruptcy law reforms will soon begin to ease the pain at banks by encouraging the quick sale of assets of troubled borrowers. But... b. The proceeds from such sales, however, would likely amount to very little in comparison with the mammoth scale of troubled assets. Previous statement said because... a. According to a joint study by Assocham and Crisil, gross NPAs in the banking system are estimated to increase to ₹9.5 lakh crore by March 2018, from ₹8 lakh cror e a year earlier. Result... c. In that case, write-offs recognising losses may be the most honest and practical way to deal with the bad loans problem. Hence it is advised that... e. So the RBI in the coming months should continue to push banks, both public and private, to promptly recognise the stressed loans on their portfolios. d. Incidentally, the Prime Minister recently laid the blame for bad loans on the previous government. (Accidently this event also happened apart from the mentioned one)

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