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    Question

    Which of the following is a feature of Funded Interest

    Term Loan (FITL)?
    A Interest is capitalized during the moratorium period Correct Answer Incorrect Answer
    B Principal is waived Correct Answer Incorrect Answer
    C Loan is written off Correct Answer Incorrect Answer
    D EMI is increased Correct Answer Incorrect Answer
    E Asset is seized Correct Answer Incorrect Answer

    Solution

    FITL is used during restructuring where overdue interest is funded and converted into a term loan.

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