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    Question

      An asset, which has remained NPA for a period less

    than or equal to 12 months is called:
    A Special Mention Account Correct Answer Incorrect Answer
    B Sub-Standard Asset Correct Answer Incorrect Answer
    C Doubtful asset Correct Answer Incorrect Answer
    D loss Asset Correct Answer Incorrect Answer
    E Standard Asset Correct Answer Incorrect Answer

    Solution

    a substandard asset would be one, which has remained NPA for a period less than or equal to 12 months. Such an asset will have well-defined credit weaknesses that jeopardize the liquidation of the debt and are characterized by the distinct possibility that the banks will sustain some loss if deficiencies are not corrected.

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