Question
In answering the question below I am having a trouble with the uniform amount used. Some examples use 4.861 while other use 11.861. Is this
In answering the question below I am having a trouble with the uniform amount used. Some examples use 4.861 while other use 11.861. Is this simply a set number to use when solving??
"Two depository institutions have composite CAMELS ratings of 1 or 2 and are well capitalized. Thus, each institution falls into the FDIC Risk Category I deposit insurance assessment scheme. Further, the institutions have the following financial ratios and CAMELS ratings: ( LG 13- 4) Calculate the initial deposit insurance assessment for each institution"
Pricing Multiplier Uniform Amount 4.861 Tier I leverage ratio (%) (0.056) Loans past due 30-89 days/gross assets (%) 0.575 Nonperforming assets/gross assets (%) 1.074 Net loan charge-offs/gross assets (%) 1.210 Net income before taxes/risk-weighted assets (%) (0.764) Adjusted brokered deposits ratio (%) 0.065 Weighted average CAMELS component ratings 1.095
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