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A commercial bank has $110 in reserves, $880 in loans, $890 in checkable deposits and $100 in capital. If the bank suffers a write down
A commercial bank has $110 in reserves, $880 in loans, $890 in checkable deposits and $100 in capital. If the bank suffers a write down in loan asset value of $15, what is the new capital to total asset ratio (capital/assets)?
Group of answer choices
11.5%
8.7%
7.8%
5.4%
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