alleryStart learning →A provision is Rs 5 lakh; an insurance recovery of Rs 6 lakh is virtually certain. Maximum asset for reimbursement?
ARs 6 lakh
BRs 1 lakh
CRs 11 lakh
DRs 5 lakh
Answer & Solution
Correct answer: D. Rs 5 lakh
The reimbursement asset cannot exceed the provision, so it is capped at Rs 5 lakh.
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