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A temporary financial arrangement under which, the borrower is allowed to borrow money upto the requirements of the borrower is called ....

Aoverdraft facility

Bcash credit limit

Cline of credit

Dshort-term loan

Answer:

B. cash credit limit

Read Explanation:

Cash Credit:

  • Cash credit is a temporary financial arrangement under which the borrower is allowed to borrow money upto requirements of the borrower called cash credit limit.

  • Interest will be charged only on the amount actually drawn.

  • Current Liability : Previous Year turnover


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