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    Question

    In the context of Asset Reconstruction Companies (ARCs),

    what does 'SR' stand for? 
    A Statutory Reserve Correct Answer Incorrect Answer
    B Security Receipt Correct Answer Incorrect Answer
    C Secured Recovery Correct Answer Incorrect Answer
    D Standard Ratio Correct Answer Incorrect Answer
    E Sub-standard Recovery Correct Answer Incorrect Answer

    Solution

    When an ARC buys a bad loan, it issues Security Receipts (SRs) to the banks/FIs as consideration for the portion of the loan not paid in cash.

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