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DownTheStreet Bank has the following balance sheet (in millions). Assume the subordinated debentures qualify as regulatory capital. a) What is the leverage ratio? b) What

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DownTheStreet Bank has the following balance sheet (in millions). Assume the subordinated debentures qualify as regulatory capital. a) What is the leverage ratio? b) What is the CET1 ratio? c) What is the Tier I risk-based capital ratio? d) What is the Total risk-based capital ratio? e) Now suppose that the bank also has an outstanding loan commitment for $50 that has a credit equivalency of 50% and a risk weight of 50%. Recompute each of the four regulatory capital ratios including this off-balance-sheet item. DownTheStreet Bank has the following balance sheet (in millions). Assume the subordinated debentures qualify as regulatory capital. a) What is the leverage ratio? b) What is the CET1 ratio? c) What is the Tier I risk-based capital ratio? d) What is the Total risk-based capital ratio? e) Now suppose that the bank also has an outstanding loan commitment for $50 that has a credit equivalency of 50% and a risk weight of 50%. Recompute each of the four regulatory capital ratios including this off-balance-sheet item

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