2. A bank has the following balance sheet and has no OBS contingencies: Assets Liabilities and Net Worth Cash s s 960,000,000 S Treasury Bills Residential Mortgages (Cat. 1-70% LTV) Business Loans 20,000,000 40,000,000 500,000,000 430,000,000 S Deposits Subordinated Debentures Non-Cummulative Preferred Stock Common Stock Retained Earnings Total Liabilities & Net Worth S 25,000,000 s 20,000,000 $ 45,000,000 s 40,000,000 $ 1,090,000,000 s 100,000,000 Loans > 90 Days Past Due) Total Assets $ 1,090,000,000 I Common Equity Tier I Risk- Based Capital Ratio Corumon Equity Tier 1 Capital Credit Risk-Adjusted Assets Tier I Risk-Based Capital Ratio All Tier 1 Capital Credit Risk-Adjusted Assets Total Risk-Based Capital Ratio Total Capital (Tiers I & II) Credit Risk-Adjusted Assets Tier I Leverage Ratio All Tier 1 Capital Total Exposure a. What is the Common Equity Tier I (CETI) Risk-Based Capital Ratio? b. What is the Tier I Risk-Based Capital Ratio? c. What is the Total Risk-Based Capital Ratio? c. What is the Total Risk-Based Capital Ratio? d. What is the Tier I Leverage Ratio? e. In what Capital Risk Zone would the bank be placed