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Assets Amount Credit risk Regulatory capital weight ($ millions) 2.500 0% 3-month Treasury bills Ordinary shares 3,750 20% Loans to local ADIS, S&P rating AA-

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Assets Amount Credit risk Regulatory capital weight ($ millions) 2.500 0% 3-month Treasury bills Ordinary shares 3,750 20% Loans to local ADIS, S&P rating AA- Retained earnings 6,150 SO Standard residential mortgages (no insurance LVR>80%) General reserves for credit losses 10.500 1001 Corporate loans S&P rating BB+ Term subordinated debts Total assets 22.900 Total regulatory capital Calculate the credit-risk weighted assets (show all workings) (3 marks) 6) Calculate the risk based capital ratios for Common Equity Tier 1. Tier 1 and total regulatory capital (show all workinge) (6 marks) (WI) Assuming MONSU Bank has NO marketniskor operational risk assess whether the bank has met the Basel lil minimum requirements including the capital conservation buffer) for each of the three (3 capital ratios calculated in part 06 ( 450 Ordinary shares Retained earnings 610 General reserves for 250 credit losses Term subordinated 100 debts Total regulatory capital 1,410

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