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Mr. Shankar owns a business of …

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Mr. Shankar owns a business of medical devices. At present, he sells in North India only but has plans to expand. To launch his products in South India. He has applied to the bank for enhancement of overdraft limit from 50 lakhs to 1 crores. Bank manager suggested him to take ‘Term Loan’ of Rs.30 lakhs. Why do you think Mr. Shankar has applied for enhancement of overdraft limit? Do you think he should consider Term Loan instead of Overdraft Limit.?

Posted by Om Om 7 years, 2 months ago

CBSE > Class 11 > Business Studies

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