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AIWMI Exam CCRA-L2 Topic 9 Question 86 Discussion

Actual exam question for AIWMI's CCRA-L2 exam
Question #: 86
Topic #: 9
[All CCRA-L2 Questions]

Provisioning Coverage Ratio (PCR) is essentially the ratio of provisioning to ______ and indicates the extent

of funds a bank has kept aside to cover loan losses.

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Suggested Answer: B

by Ardella at Apr 28, 2024, 02:34 PM

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Margarett
5 months ago
That makes sense. It's not total assets or total loan portfolio, they're too broad.
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Selma
5 months ago
Because PCR shows how much a bank has set aside for loan losses specifically from non-performing assets.
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Dacia
6 months ago
Why do you think that?
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Selma
6 months ago
I think the answer is gross non-performing assets.
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Margarett
6 months ago
Yeah, it asked about the ratio of provisioning to what.
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Dacia
7 months ago
Hey, did you see the exam question on PCR?
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