Question
What is the provision required for the secured portion
of an asset classified as Substandard Asset according to RBI’s IRAC guidelines?Solution
When an asset has been classified as NPA for a period of less than or equal to 12 months, it is considered a "Substandard Asset." In case of Sub standard assets, a provision of 15% is to be made if the loan is secured. In case of unsecured loan, the provision requirement is 25%.
 Any straight-line supply curve that intersects the vertical axis above the origin has an elasticity of supply
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