ICICI Bank Credit Manager Interview Questions, Process, and Tips

DSCR stands for Debt Service Coverage Ratio. It signifies a company's ability to pay its debts.

• DSCR is a financial ratio that measures a company's ability to pay its debts based on its cash flow.

• It is calculated by dividing the company's net operating income by its total debt service.

• A DSCR of 1 or higher indicates that the company is generating enough cash flow to cover its debt obligations.

• A DSCR below 1 indicates th...read more

Deferred tax is a liability that arises due to temporary differences between accounting and tax rules. Bank guarantee is a commitment by a bank to pay a specified amount if the beneficiary fails to meet certain obligations.

• Deferred tax is a result of differences in timing between when income or expenses are recognized for accounting purposes and when they are recognized for tax purposes.

• Bank guarantee is a form of secu...read more

A bank guarantee is a promise from a bank to pay a specified amount if the person or company requesting the guarantee fails to fulfill their obligations.

• Bank guarantees are often used in international trade to ensure payment and delivery of goods.

• They can also be used in construction projects to ensure completion of the project.

• The bank issuing the guarantee will typically require collateral or a fee from the person or...read more