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A bank has a profit margin of 5 percent, an asset utilization ratio of 11 percent, a simple capital ratio 8.33 percent, and a retention
A bank has a profit margin of 5 percent, an asset utilization ratio of 11 percent, a simple capital ratio 8.33 percent, and a retention ratio of 45 percent. Note that: ROA = Profit Margin X Asset Utilisation Ratio Retention Ratio + Dividend Payout Ratio = 100% What is this bank's Internal Capital Generation Rate
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