What is this bank ratio of total capital to risk assets

Assignment Help Financial Management

Reference no: EM131347235

A bank has $200 million in assets in the 0 percent risk-weight category. It has $400 million in assets in the 20 percent risk-weight category. It has $1,000 million in assets in the 50 percent risk-weight category and has $1,000 million in assets in the 100 percent risk-weight category. This bank has $96 million in Tier 1 capital and $48 million in Tier 2 capital. What is this bank's ratio of total capital to risk assets? A. 6.08 percent B. 3.04 percent C. 9.11 percent D. 5.54 percent E. None of the options is correct.

Reference no: EM131347235

Questions Cloud

Authorized shares-outstanding shares and treasury stock : Explain the relationships among authorized shares, outstanding shares, treasury stock, and issued shares. What is the difference between a venture capitalist (VC)and an angel capitalist (angel)? What are the four ways that VCs are most commonly organ..

Calculate the switching speed for cmos and n-mos inverters : Calculate the switching speed for CMOS and n-MOS inverters fabricated by the process described in Problem 16.12 when the average length of interconnect that each inverter drives is 60 pm (Le., m = 40) and when the thickness of the oxide under the ..

Tax cash flows-probabilities for manufacturing process : The staff of Porter Manufacturing has estimated the following net after-tax cash flows and probabilities for a new manufacturing process: Line 0 gives the cost of the process, Lines 1 through 5 give operating cash flows, and Line 5* contains the esti..

Implementation with respect to concurrency control issues : You have had the opportunity to evaluate the performance of a threaded version of a sort algorithm and a non-threaded version of a sort algorithm.

What is this bank ratio of total capital to risk assets : A bank has $200 million in assets in the 0 percent risk-weight category. It has $400 million in assets in the 20 percent risk-weight category. It has $1,000 million in assets in the 50 percent risk-weight category and has $1,000 million in assets in ..

Before-tax cost of capital for this debt financing : Black Hill Inc. sells $100 million worth of 29-year to maturity 10.59% annual coupon bonds. The net proceeds (proceeds after flotation costs) are $980 for each $1,000 bond. What is the before-tax cost of capital for this debt financing?

Applies to the average accounting rate of return : A bank has a profit margin of 5 percent, an asset utilization ratio of 11 percent, an equity multiplier of 12, and a retention ratio of 60 percent. What is this bank's ICGR? Which one of the following correctly applies to the average accounting rate ..

What is this bank ratio of tier one capital to risk-weighted : A bank has $100 million in assets in the 0 percent risk-weight category, $200 million in assets in the 20 percent risk-weight category, $500 million in assets in the 50 percent risk-weight category, and $750 million in assets in the 100 percent risk-..

Research an operating system or a programming language : Is the threading model based on kernel-level or user-level threads - What is the most significant advantage of the implementation and what is the most significant disadvantage of the implementation?

User Account

All Pages