3. A bank has risk-weighted assets or $408 million and the following sources of regulatory capital (in $ millions): Allowance for Loan Loss $3.27 Common Stock (Par) $1.16 Intermediate-Term Preferred Stock $2.36 Perpetual Preferred Stock $2.98 Subordinated Debt $4.38 Surplus $8 Undivided Profit $19.41 What is the bank's ratio of Tier 1 capital to risk-weighted assets?
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A 298.
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- If a bank has the following ratios, it can pay up to of its earnings as dividends. Tier 1 leverage = 4.7% Tier 1 common equity risk-based = 7.2% %3D Tier 1 risk-based 8.3% Total capital risk-based = 11%A bank has risk-weighted assets or $425 million and the following sources of regulatory capital (in $ millions): Allowance for Loan Losses $3.02 Common Stock (Par) $0.85 Intermediate-Term Preferred Stock $4.87 Perpetual Preferred Stock $3.43 Subordinated Debt $3.24 Surplus $7.83 Undivided Profit $20.04 What is the bank's ratio of Tier 2 capital to risk-weighted assets? _______ . Calculate the answer by read surrounding text. Express in %, to the nearest 0.01%; drop the % symbol.You have the following information: total assets = $200 million; risk-adjusted assets = $90 million; owners' equity = $3.5 million; Trust-preferred securities = $0.7 million; loan loss reserve = $1.5 million; & subordinated debt = $2 million Calculate: 1. Equity Capital Ratio 2. Tier 1 Ratio 3. Total Capital Ratio
- The current ratio is O a solvency measure that indicates the margin of safety for bondholders O calculated by dividing current liabilities by current assets calculated by subtracting current liabilities from current assets O used to evaluate a company's liquidity and short-term debt-paying ability Question 19 On the statement of cash flows, a $9,000 gain on the sale of fixed assets would be O added to net income in converting the net income reported on the income statement to cash flows from operating activities O deducted from net income in converting the net income reported on the income statement to cash flows from operating activities O deducted from dividends declared in converting the dividends declared to the cash flows from financing activities related to dividends O added to dividends declared in converting the dividends declared to the cash flows from financing activities related to dividendsWhat does tangible common equity reflect? Suppose that a bank has common stock of par value $200m with retained earnings of $3m and intangible assets of $4m. What will be tangible common equity ratio if total assets are $1000m? Correct answer neededA security analyst calculates the following ratios for two banks. How should the analyst evaluate the financial health of the two banks.Bank A Bank BROE 22% 24%ROA 2% 1.5%Equity Multiplier 11X 16XProfit Margin 15% 14%Asset Utilization 13% 11%Spread 3% 3%Interest Exp. Ratio 35% 40%Provision for loan loss ratio 1% 4%
- Use the following information to answer the question: First National Bank of Beverly Hills (Millions $) Interest rate Assets Amount of return Liab. & Equity Amount Interest Cost Securities %24 325 3.09% Liabilities $1,175 2.5% Loans 925 8.0% Equity Total 125 Non-eaming 50 0.0% S1,300 Total $1,300 First National Bank Industry Average Net interest margin (NIM) Return on Equity (ROE) 2096 4.00%% Tax rate 3496 Overhead Efficiency 0.65 Noninterest Expense Provisions for Loan Losses (PPL) S40 Average Loan Rate (ALR) $3 If the net noninterest income were to change to -$20, what would the average loan rate (ALR) have to be to generate a 20% ROE? Compared to the industry, does this ALR appear feasible? O 6.25%, feasible O 6.25%, not feasible O 8.70%, feasible O 8.70%, not feasible O 7.50%, feasibleWhat does tangible common equity reflect? Suppose that a bank has common stock of par value $200m with retained earnings of $3m and intangible assets of $4m. What will be tangible common equity ratio if total assets are $1000m? Do it correctly with explanationf. ABC Bank has the following balance sheet (in millions) and has no off-balance-sheet exposure. Assets Liabilities and Equity Cash $20 Deposits $960 Treasury bills 40 Subordinated debt 25 Residential mortgages Common stock 45 Business loans 430 Retained earnings 40 Total assets $1,090 Total liabilities and equity $1.090 Total Risk Weighted Assets are $730. i) What is the Tier 1 risk-based capital ratio? ii) What is the Capital Adequacy Ratio (CAR)? iii) What is the Tier 1 leverage ratio?
- Subject:- Finance SECOND BANK PROVIDES THE FOLLOWING EQUITY DATA: REGULATORY EQUITY RELATED ACCOUNTS COMMON STOCK 4,000.00 PREFERRED STOCKS 900.00 RETAINED EARNINGS 3,001.00 CAPITAL NOTES 2,500.00 SUBORDINATED DEBT 4,000.00 RESERVE FOR LOAN LOSSES 800.00 RISK WEIGHTED ASSETS 60,000.00 How much is Tier 2? Seleccione una: NOT ENOUGH DATA TO ANSWER $6,475 $7,226 $6,038 $6,088 $13,701 $7,901We are given the following information for the Pettit Corporation. Sales (credit) Cash Inventory Current liabilities Asset turnover Current ratio Debt-to-assets ratio Receivables turnover $ 2,880,000 188,000 890,000 811,000 1.35 times 2.30 times a. Accounts receivable b. Marketable securities c. Fixed assets d. Long-term debt 40 % 5 times Current assets are composed of cash, marketable securities, accounts receivable, and inventory. Lienser Fraktala TAMARA TANT RISHI TRITATE FAST JET PARETSTRANS I nemal osted or annemangen MANENBER HAGPAINT MANSION LARPURCO Calculate the following balance sheet items. (Do not round intermediate calculations. Round your final answers to the nearest whole number.)Aa.6. You know the following information about the Davis National Bank: Total interest expenses $500.00 Total Noninterest income $100.00 Securities gains (losses) $50.00 Income taxes $80.00 Dividends to stockholders $40.00 Total interest income $800.00 Total noninterest expenses $150.00 Provision for loan losses $100.00 Given this information, what is the value of this firm’s pretax net operating income?