National Bank has the following balance sheet (in millions) and has no offbalance-sheet activities.

Assets Liabilities and Equity Cash $ 20 Deposits $ 980 Treasury bills 40 Subordinated debentures 25 Residential mortgages 600 Common stock 45

(category 1, loan-to-value ratio 70%)

Retained earnings Total liabilities and equity 40

$1,090 Business loans 430 Total assets $1,090

a. What is the CET1, risk-based ratio?

b. What is the Tier I risk-based capital ratio?

c. What is the total risk–based capital ratio?

d. What is the leverage ratio?

e. In what capital category would the bank be placed?