Information concerning the allocation of loan portfolios to different market sectors is given below:

Bank A and Bank B would like to estimate how much their portfolios deviate from the national average.

a. Which bank is further away from the national average?

b. Is a large standard deviation necessarily bad for an FI using this model?

\begin{tabular}{lccc} & \multicolumn{3}{c}{ Allocation of Loan Portfolios in Different Sectors (\%) } \\ \cline { 2 - 4 } Sectors & National & BankA & BankB \\ Commercial & 40% & 50% & 10% \\ Consumer & 30% & 30% & 40% \\ Real Estate & 20% & 50% \end{tabular} \begin{tabular}{lccc} & \multicolumn{3}{c}{ Allocation of Loan Portfolios in Different Sectors (\%) } \\ \cline { 2 - 4 } Sectors & National & BankA & BankB \\ Commercial & 40% & 50% & 10% \\ Consumer & 30% & 30% & 40% \\ Real Estate & 20% & 50% \end{tabular}