Question
Which of the following would have the lowest credit risk
for a bank/lender?Solution
In case of a LAP, a mortgage loan is created where a property is available to the bank as security against the loan, which is an appreciating asset. In case of vehicle loan, the mortgage is created on the vehicle but it being a depreciating asset, the risk of recovery in case of default is still high. In case of LAS, the security is a volatile asset (shares value can change substantially) while credit card is an unsecured personal loan where credit risk is high.
When the day on which a promissory note or bill of exchange is at maturity (after including days of grace) is a public holiday (except emergency or unfo...
Income Tax Act, 1961 came into force on _______.
As per RBI guidelines, a borrower or guarantor is classified as a Wilful Defaulter if the person has committed wilful default and the loan outstanding i...
Which of the following techniques was developed by Kaplan and Norton?
Currently, a firm sells 10,000 units at ₹20 each. Variable cost is ₹12 per unit and Fixed Costs are ₹50,000. If the firm increases its selling pri...
ABC Ltd. reports a net profit after tax of ₹6,00,000 for FY 2024–25. Depreciation expense is ₹1,20,000. Accounts receivable increased by ₹80,000...
5000 kgs of raw material were bought at Rs.2.5 per kg and 10% is normal waste. If recovery value of the normal waste is Rs.1.2 per kg, then find the cos...
What is the maximum deduction allowed under Section 80U of the Income Tax Act, 1961, for an individual with a severe disability?
The matching of revenue and related expenses gives which of the following?
Which of the following is a tool used by the Reserve Bank of India (RBI) for treasury management in banks?
