Red suffers a loan default of 8 000. Determine the amount of capital Red must raise. Assume a capital ratio of 10%

Red Bank
Assets			Liabilities
Reserves	2 100		Deposits	20 000
Mkt Securities	3 000		Borrowings	300 000
Loans	346 000
Fixed Assets	8 900		Capital	40 000
Total	360 000		Total	360 000