Question

Cash credit is normally given on security of stock, debtors etc. whereas bank credit is normally given on security of a fixed asset.

• A. True
• B. False

Answer 1

The correct option is A True

Cash credit is normally given on security of stock, debtors etc. whereas bank credit is normally given on security of a fixed asset- this is a rue statement.Cash credit is a type of borrowing which can be obtained from the bank savings account without having credit balance.