Question

In the calculation of the Marginal Cost of Funds, what is the weightage given to the Marginal Cost of Borrowings compared to the return on net worth?

A 92% weightage to Marginal Cost of Borrowings and 8% weightage to return on net worth. Correct Answer Incorrect Answer
B 90% weightage to Marginal Cost of Borrowings and 10% weightage to return on net worth. Correct Answer Incorrect Answer
C 85% weightage to Marginal Cost of Borrowings and 15% weightage to return on net worth. Correct Answer Incorrect Answer
D 70% weightage to Marginal Cost of Borrowings and 30% weightage to return on net worth. Correct Answer Incorrect Answer
E It depends on the bank's discretion. Correct Answer Incorrect Answer

Solution

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