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Assertion (A): Bank can set off a trust account against trustee’s personal loan.
Reason (R): Capacity of the account holder is different.

ABoth false

BA false, R true

CBoth true

DA true, R false

Answer:

B. A false, R true

Read Explanation:

Set-off requires same person in same capacity.


Related Questions:

1.Clayton’s Rule is based on the principle of “first in, first out.”

2.Clayton’s Rule mainly applies to savings bank accounts.

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