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Consider the following statements: 
Non-performing assets (NPAs) decline in value when 
1) Demand revives in the economy. 
2) Capacity utilization increases. 
3) Capacity utilization, through substantive, is yet sub-optimal. 
4) Capacity utilization decreases consequent upon merger of units. 
Which of the above statements are correct?

[ESE 2018 Prelims Paper I]
A
B
C
D