Calculate the provision that needs to be earmarked by the Bank in respect of the following case: Outstanding Balance: ₹ 4 lakhs ECGC Cover: 50% Value of security held: ₹ 1.50 lakhs Period for which the advance has remain

In the problem given, the provision that requires to be made by the Bank are as follows: Particulars Amount (₹ in Lakhs) Outstanding Balance 4.00 Less: Value of security held 1.50 Unrealised Balance 2.50 Less: ECGC Cover (50% of Unrealisable Balance) 1.25 Net Unsecured Balance 1.25 Provision for unsecured portion of advance [@ 100 percent of Unsecured Portion] 1.25 Provision for Secured Portion of advance (as on March 31, 2024) [(@ 40 per cent of the Secured Portion] 0.60 Total Provision to be made (as on March 31, 2024) 1.85