Determine and write-down in the space provided for each of the following whether the capital item is considered as part of Tier I or Tier II capital. (4 points)

($ thousands) Tier I or Tier II

Common stock (par value) $10 ________

Paid-in surplus 50 ________

Undivided profits 90 ________

Minority interest in equity accounts 5 ________

Subordinated debt 15 ________

Equity reserves 30 ________

2. Based on total capital amount above, calculate the total risk weighted assets for the bank in order to meet the minimum total capital ratio. (3 points)

(c) Based on your answer in part (b), calculate the minimum total tier I dollar capital the bank must maintain to meet minimum total tier I percent ratio requirement by regulators? Show your work. (3 points)