Question

How is exposure to a public limited 'Infrastructure Investee Company' determined for equity investments?

a.

20% of outstanding equity shares (face value)

b.

20% of outstanding equity shares plus free reserves

c.

20% of outstanding equity shares or 20% equity plus free reserves (excluding revaluation reserves) plus debentures/bonds, whichever is lower

d.

25% of outstanding equity shares

Answer: (c).20% of outstanding equity shares or 20% equity plus free reserves (excluding revaluation reserves) plus debentures/bonds, whichever is lower Explanation:Exposure to a public limited 'Infrastructure Investee Company' for equity investments is determined as 20% of outstanding equity shares (face value) or 20% of outstanding equity shares plus free reserves (excluding revaluation reserves) plus debentures/bonds, whichever is lower.

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Q. How is exposure to a public limited 'Infrastructure Investee Company' determined for equity investments?

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