Question

A project has annual cash accruals of ₹18 crore. Annual term loan obligation (principal + interest) is ₹12 crore. What is the DSCR and its interpretation?

A 1.2 – Just adequate
B 1.5 – Comfortable
C 1.0 – Break even
D 0.8 – Inadequate
E 2.0 – Excellent
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