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Find the expected loss rate under the dual rating system following the given information. PD (%) 0.00 1.39 2.41 8.56 12.35 Weights 25% 25% 20%
Find the expected loss rate under the dual rating system following the given information. PD (%) 0.00 1.39 2.41 8.56 12.35 Weights 25% 25% 20% 15% 15% Risk Class Solvency Repayment Profitability Liquidity Financial Efficiency Collateral 1 2 X 3 4 5 and Loss-Given-Default Classifications Risk Class Degree of security 1 Exceptionally well secured 2 Well secured 3 Adequately secured 4 Marginally secured 5 Under secured 0.603% LGD (%) 0 25 50 75 100 6.257% 0.215% 25% Find the expected loss rate under the dual rating system following the given information. PD (%) 0.00 1.39 2.41 8.56 12.35 Weights 25% 25% 20% 15% 15% Risk Class Solvency Repayment Profitability Liquidity Financial Efficiency Collateral 1 2 X 3 4 5 and Loss-Given-Default Classifications Risk Class Degree of security 1 Exceptionally well secured 2 Well secured 3 Adequately secured 4 Marginally secured 5 Under secured 0.603% LGD (%) 0 25 50 75 100 6.257% 0.215% 25%
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