Q.Expansion of RRBs :

A loan turns into a Non-Performing Asset after 90 days of default, so the answer is (d).

In the banking topic of the Tamil Nadu HSC Commerce syllabus, lending is a key function of commercial banks. A loan or advance is an 'asset' for the bank because it earns interest.

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A commercial bank accepts deposits and provides loans, so option (c) is correct.

The two primary functions of a commercial bank are:

• Accepting deposits — savings, current, fixed and recurring deposits from the public.
• Providing loans and advances — lending the pooled deposits to individuals and businesses at interest. …

RRB stands for Regional Rural Banks.

Regional Rural Banks (RRBs) were established under the Regional Rural Banks Act, 1976 (first set up in 1975) to develop the rural economy by providing credit and banking facilities to small and marginal farmers, agricultural labourers, artisans and small entrepreneurs. They c …