3. The table shows the financial data that the management uses to calculate the Liquidity Coverage Ratio of the bank. Enter the appropriate liquidity levels and run-off factors. Calculate the stock of high-quality assets and show the amounts of assets in their respective levels. Calculate the total net cash outflows expected over the next 30 days. If the total cash inflows expected over the next 30 days is 50,400m, what is the amount of total net cash outflows? Using your calculations, what is the LCR and does the bank comply with its liquidity requirements?

Assets, m		Liquidity Level	Liabilities and Equity, m		Run-off Factor
Cash	12,000		Stable retail deposits	370,000
Deposits at Central Bank	50,000		Less stable retail deposits	150,000
Treasury Securities	81,000		Unsecured wholesale funding from:
Other securities	133,000		Stable small business deposits	280,000
Loans to A-rated corps	620,000		Less stable small bus. deposits	200,000
Loans to B-rated corps	256,000		Nonfinancial corporates	114,000
Premises	4,000		Equity	42,000
Total	1,156,000			1,156,000

Level 1 assets
Level 2a assets		Capped at 40% of HQLA
Level 2b assets		40% cap on Level 2 assets already met
			Stock of HQLA
Total cash outflows over the next 30 days
Total cash inflows over the next 30 days				50,400
Total net cash outflows over the next 30 days
LCR = Stock of HQLAs / total net cash outflows over next 30 days