Answered step by step
Verified Expert Solution
Question
1 Approved Answer
hello. GOOD DAY. NEED A HELP TO COMPLETE THE ABOVE QUESTION PLS HELP ME YA. Q4. ANZ Bank (M) Berhad, (ANZ) has the following balance
hello. GOOD DAY. NEED A HELP TO COMPLETE THE ABOVE QUESTION PLS HELP ME YA.
Q4. ANZ Bank (M) Berhad, (ANZ) has the following balance sheet for the financial year ended 31 December 2020. Assets Cash Treasury Bills (30 days) Treasury Bonds (5 years) Repurchase Agreements Student Tuition Loans Student Home Mortgages Building and Furniture Loan Loss Reserves Total Amount Liabilities & Equity (RM) 100 Transaction Accounts 190 Certificate of Deposits 30 Subordinated Debt 10 Non Cumulative Preferred Stock 500 Retained Earnings 100 Common Stock 110 Surplus (40) 1,000 Amount (RM) 700 220 7 5 48 5 15 1,000 (1) ANZ does not operate in international markets. Does it need to comply with the minimum capital requirement set in Basel Agreement? Why or why not? (2 marks) (ii) Calculate Tier 1, Tier 2 and total capital. (3 marks) (iii) ANZ? How much is the risk-weighted assets of (3 marks) (iv) Does ANZ have adequate capital as per requirement imposed by the regulators? Show all workings and explain your answer. (8 marks) Q4. ANZ Bank (M) Berhad, (ANZ) has the following balance sheet for the financial year ended 31 December 2020. Assets Cash Treasury Bills (30 days) Treasury Bonds (5 years) Repurchase Agreements Student Tuition Loans Student Home Mortgages Building and Furniture Loan Loss Reserves Total Amount Liabilities & Equity (RM) 100 Transaction Accounts 190 Certificate of Deposits 30 Subordinated Debt 10 Non Cumulative Preferred Stock 500 Retained Earnings 100 Common Stock 110 Surplus (40) 1,000 Amount (RM) 700 220 7 5 48 5 15 1,000 (1) ANZ does not operate in international markets. Does it need to comply with the minimum capital requirement set in Basel Agreement? Why or why not? (2 marks) (ii) Calculate Tier 1, Tier 2 and total capital. (3 marks) (iii) ANZ? How much is the risk-weighted assets of (3 marks) (iv) Does ANZ have adequate capital as per requirement imposed by the regulators? Show all workings and explain your answer. (8 marks)Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started