Rbi Master Circular

1. What are the prudential exposure norms on advances? (master circular)

2. What is the provisioning norm of standard assets? (master circular)

3. If an unsecured loan becomes NPA, what are the provisioning norms at substandard and doubtful stage?

4. Which are the cases where bank can charge interest without reference to BPLR and/or Base Rate?

5. What is out of Order Account with reference to a borrowal account & under Non Performing Assets? (master circular)

6. What is commercial paper, who can raise money by way of CP? Can u give loan against the CP?

7. Name three Para-Banking activities permitted by RBI to banks operating in India? Against the backdrop of equipment leasing, explain?

a. Accounting IRR

b. Financial IRR

c. Post tax IRR

d. Payment in Advances

e. Payment in Arrears

f. APR and ERR

8. Explain Financial Distress? Which companies are not included within the ambit of Board for Industrial and Financial Reconstruction BIFR? Define sick company? What is CDR mechanism?

9. What is Capital Adequacy Ratio? Explain the methodology to determine CAR of commercial banks and regulatory guidelines on capital adequacy.

10. How do you proceed appraising a working capital proposal to a manufacturing unit? What are the monitoring mechanisms?

11. Define liquidity as a principal of lending.

12. Components of fund based limit and non fund based limits.

13. Explain the following with its importance and relevance to any business enterprise.

Also explain its importance for banks to assess working capital limits and term loan proposal?

a. Current ratio

b. Total debt equity ratio

c. Net working capital to bank liabilities for working capital limits.

14. What are the various dimensions of regulatory framework of the Reserve bank of India (Role)?

15. What is the importance of credit appraisal and monitoring in the loans and advances portfolio of the banks? Explain how it is carried out?

16. What is Basel II? How it will impact bank in India?

17. Discuss...