Question

Assets by a bank acquired by a bank in satisfaction of a claim are known as _________.

• A. Non-banking assets
• B. Performing assets
• C. Standard assets
• D. None of these

Answer 1

Answer: (A)

Non-banking assets

Financial Assets - stocks, bonds, currencies, derivatives, etc.

Non-financial Assets - These are the non-banking assets and have a physical manifestation. As in- machinery, equipment, real estate, inventory, vehicles. These are the type of assets which are acquired by banks to settle their debts.