1. A. Given the data below on the capital adequacy weights in a bank game context, what level of subordinated notes does the bank need to achieve a CAR of 1.15? It has none now. (These are all the assets and all the categories that have a capital requirement.) Category Weights Amount on Balance Sheet Securities 1% $890 Prime Loans 15% $1500 Low Qual. Loans 20% $1000 Non-Accruing Loans 50% $200 Net Premises 100% $37 Common Equity = $550 LL Res. = $20 B. If the bank had $150 more in Prime Loans and $150 less in Low Quality Loans (same total assets), would the answer in a. be different? How would the answer in a. change for the amount of sub debt needed?