Onshore Bank has $20 million in assets, with risk-adjusted assets of $10 million. CET1 capital is $500,000, additional Tier I capital is $50,000, and Tier II capital is $400,000. How will each of the following transactions affect the value of the CET1, Tier I, and total capital ratios? What will the new values of each ratio be?

a. The bank repurchases $100,000 of common stock with cash.

b. The bank issues $2 million of CDs and uses the proceeds to issue category 1 mortgage loans with a loan-to-value ratio of 80 percent.

c. The bank receives $500,000 in deposits and invests them in T-bills.

d. The bank issues $800,000 in common stock and lends it to help finance a new shopping mall.

e. The bank issues $1 million in nonqualifying perpetual preferred stock and purchases general obligation municipal bonds.

f. Homeowners pay back $4 million of category 1 mortgages with a loanto-value ratio of 40 percent and the bank uses the proceeds to build new ATMs.