Question:
Pari Passu means
Pari Passu means
Show Hint
Pari Passu means equal treatment, equal ranking, or equal priority among creditors, securities, or claims.
Updated On: Jun 15, 2026
- unequal in right of payment
- Assets, credits or securities ranked equally in priority.
- a person who resorts to irregular payment.
- an abandoned account.
Show Solution
Verified By Collegedunia
The Correct Option is B
Solution and Explanation
Concept:
“Pari Passu” is a Latin phrase frequently used in finance, banking, and law.
Step 1: Understand the meaning of the term.
The phrase “Pari Passu” literally means: \[ \text{On equal footing} \] or \[ \text{With equal rank} \]
Step 2: Understand its use in finance.
When assets, securities, or creditors rank equally and have the same rights regarding payment, they are said to rank “pari passu”.
Step 3: Apply the definition to the options.
Option (B) correctly states that assets, credits, or securities have equal priority.
Step 4: Choose the correct answer.
Therefore, \[ \boxed{\text{Option (B)}} \] is correct.
Step 1: Understand the meaning of the term.
The phrase “Pari Passu” literally means: \[ \text{On equal footing} \] or \[ \text{With equal rank} \]
Step 2: Understand its use in finance.
When assets, securities, or creditors rank equally and have the same rights regarding payment, they are said to rank “pari passu”.
Step 3: Apply the definition to the options.
Option (B) correctly states that assets, credits, or securities have equal priority.
Step 4: Choose the correct answer.
Therefore, \[ \boxed{\text{Option (B)}} \] is correct.
Was this answer helpful?
0
0
Top TG ICET Communication Ability Questions
- Having or showing an unusual aptitude for discovering, inventing, or contriving is called:
- The glory of Annamayya is eternal. Choose the correct word that best matches the meaning of the underlined word:
- Though a great scholar, he is quite unassuming. Choose the correct word that best matches the meaning of the underlined word:
- I cannot do this work. I am a novice. Choose the correct word that best matches the meaning of the underlined word:
- There was something odd about her behaviour. Choose the correct word that best matches the meaning of the underlined word:
View More Questions
Top TG ICET Business Terminology Questions
- Short-term assets minus accounts receivable and inventory, divided by short-term liabilities is called
- Which of the following practices does not come under Amortization?
- A financial statement listing a company’s assets as of a specific date, usually the last day of a company’s fiscal quarter.
- The economic value of a worker's experience and skills, including education, training, intelligence, and health.
- Expand the term KPI.
View More Questions
Top TG ICET Questions
- What is the average of the integers 1, 2, 3, 4, and \(x\)? Statement (I): \(x\) is an even integer. Statement (II): \(x<10\)
- What is the average of \(x,y,z\) and \(t\)? Statement (I): \(x+z=12\) Statement (II): \(y+t=24\)
- What is the sum of the first 30 terms of an Arithmetic Progression? Statement (I): The common difference of the A.P. is 5. Statement (II): The first and the last terms are 2 and 60 respectively.
- In triangle \(ABC\), is \(\angle A\) obtuse? Statement (I): \(\angle C\) is acute. Statement (II): \(\angle B\) is obtuse.
- What is the circumference of the regular hexagon? Statement (I): The radius of the circumcircle of the hexagon is \(6\) cm. Statement (II): Each side of the hexagon subtends an angle of \(60^\circ\) at the centre.
View More Questions