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Chapter 05 Banking Strategies and Policies Problem 05 Input Area: Gross loans $800 Allowance for loan losses $45 Original Loan Amount $12 Amount Repaid $2

Chapter 05 Banking Strategies and Policies
Problem 05
Input Area:
Gross loans $800
Allowance for loan losses $45
Original Loan Amount $12
Amount Repaid $2
Market Value of Real Estate $7
Auction Value of Real Estate (part c) $10
Output Area:
Outstanding Loan Balance
Net Loans before charge-off
Amount of charge-off
Gross Loans after charge-off
ALL after charge-off
Net Loans after charge-off
Gross Loans after auction
ALL after after auction (recovery)
Net Loans after auction (recovery)

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