Non Performing Assets (NPA) : No business is without any risk and banks cannot be any exception. But the high quantum of NPAs is surely a cause for worry, especially when Indian banks have an important role to play for growth to be sustained. Any asset becomes non-performing when it ceases to generate income for the bank. In India, the following will be defined as NPAS:
Bank are required to classify non-performing assets further into three main categories based on the period for which the assets have remained non-performing.1. Substandard assets2. Doubtful assets3. Loss assetsThe transition from the standard asset to loss asset takes place as follows:
Bad loans in banking terminology are generally known as _______________________- | |||
Right Option : B | |||
View Explanation |
What is known as the Bad advances of a bank ? | |||
Right Option : A | |||
View Explanation |
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