Income Recognition, Asset Classification & Provisioning Norms

Income should be recognized on accrual basis only in performing assets i.e. standard assets. For Non-performing Asset (NPA) interest should be taken into Income account on actual recovery basis and not accrual basis. When a particular loan given to a borrower becomes NPA then all other credits to the borrower will be treated as NPA. The interest that is recovered partially on the NPA will be taken into the income account. Security/net worth of borrower/guarantor will not be considered while qualifying a loan account as NPA. Link to all other Playlists :- Banking System Module -    • Banking System Module   Economics Tutorial -    • Economics Tutorial   Stock Market Basics -    • Stock Market Basics   Wealth Management Tutorial -    • Wealth Management Tutorial   Credit Management Tutorial -    • Credit Management Tutorial   Financial Services -    • Financial Services   Business Ethics -    • Business Ethics & Corporate Governance   Working Capital Management -    • Working Capital Management Tutorial   Corporate Finance -    • Corporate Finance   Financial Statement Analysis -    • Financial Statement Analysis   Financial Functions In Excel -    • Financial Functions In Excel   Capital Budgeting -    • Capital Budgeting   Capital Structure Decision -    • Capital Structure Decision   Financial Terms -    • Financial Terms   Banking Terms -    • Banking Terms   General Insurance -    • General Insurance Module   Follow DevTech Finance on :- Instagram -   / devtechfinance   LinkedIn -   / devtech-finance   Facebook -   / devtechfinance   Slideshare - https://www.slideshare.net/NishaNandani Thank You For Watching Please Subscribe To DevTech Finance