Suppose a bank has total assets of $3,000,000,000, of which $1,000,000,000 are cash assets and government securities with a "risk weight" of 0% and $2,000,000,000 are loans with a risk weight of 50%
The bank has total deposits and other liabilities of $2,800,000,000. The bank's risk-based capital ratio is A) 6.7%.
B) 20.0%.
C) 33.3%.
D) 50%.
A
You might also like to view...
In the above figure, if the quantity is equal to 1,500,000 units, the deadweight is equal to
A) area A + area B. B) area C. C) area B + area F. D) area G + area H. E) None of the above answers is correct because the deadweight loss is equal to zero.
Markets in which the Herfindahl-Hirschman index ________ are considered highly concentrated
A) is 1,000 B) is zero C) is between 1,000 and 1,800 D) is above 1,800
How are the labor force and the unemployment rate calculated?
What will be an ideal response?
The equilibrium real interest rate in Belgium will be
A) generally above the world real interest rate. B) generally below the world real interest rate. C) equal to the world real interest rate. D) determined by the equilibrium between desired domestic saving and desired domestic investment.