Question

A term loan installment and interest both remain overdue

If any one of principal or interest remains overdue 90 days, asset becomes NPA Sub-standard.

for more than 90 days. However, interest has been serviced once during this period but principal remains overdue. The asset should be classified as:

A Standard Asset

B SMA-2

C Sub-standard Asset

D Doubtful Asset

E Loss Asset

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