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    Question

    In working capital assessment, which method is primarily

    used under the Tandon Committee Recommendations for limits above ₹10 crore?
    A Operating cycle method Correct Answer Incorrect Answer
    B Cash budget method Correct Answer Incorrect Answer
    C First method of lending Correct Answer Incorrect Answer
    D Projected Balance Sheet method Correct Answer Incorrect Answer
    E Turnover method Correct Answer Incorrect Answer

    Solution

    For large borrowers, banks use the cash budget method to assess working capital requirements.

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