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A bank regulator determines that BBT bank should hold Equity, to support its lending, that is equal to 6 times its 5% quarterly VAR. If

image text in transcribed A bank regulator determines that BBT bank should hold Equity, to support its lending, that is equal to 6 times its 5\% quarterly VAR. If its Annual 5\% VAR for the enterprise is an estimated 8% loss its annual return is forecasted to be 10%, how much Equity does it need to hold as a percentage of enterprise value to satisfy the regulator? Show your answer to 4 decimal places

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