πŸ“’ Too many exams? Don’t know which one suits you best? Book Your Free Expert πŸ‘‰ call Now!

  • google app store apple app store
  • βœ–

      Question

      Which of the following asset categories is considered

      completely uncollectible and of such little value that its continuance as a bankable asset is no longer warranted, though it may have some minor salvage value?
      A Standard Asset Correct Answer Incorrect Answer
      B Substandard Asset Correct Answer Incorrect Answer
      C Doubtful Asset Correct Answer Incorrect Answer
      D Loss Asset Correct Answer Incorrect Answer
      E Special Mention Account Correct Answer Incorrect Answer

      Solution

      A loss asset is one where the loss has been identified by the bank, internal/external auditors, or RBI inspectors, but the amount has not been written off wholly. It is considered uncollectible and unviable to retain on the balance sheet.

      Practice Next
      ask-question