Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Refer to Table 1320. Table 1321, Table 1323 and Table 1324 Two depository institutions have composite CAMEt.S ratings of 1 or 2 and are well

image text in transcribed
image text in transcribed
Refer to Table 1320. Table 1321, Table 1323 and Table 1324 Two depository institutions have composite CAMEt.S ratings of 1 or 2 and are "well capitalized," Thus, each institution falls into the FDIC Risk Category I deposit insurance assessment scheme. Weights for the CAMELS components to calculate the weighted average CAMELS rating are 25 percent, 20 percent, 25 percent, 10 percent, 10 percent, and 10 percent for the C, A, M, E, L, and S components, respectively. Further, the institutions have the following financial ratios and CAMELS ratings: Calculate the initial deposit insurance assessment rate for each institution. (Do not round intermediate calculations. Round your answers to 3 decimal places. (e.g., 32.161)) Refer to Table 1320. Table 1321, Table 1323 and Table 1324 Two depository institutions have composite CAMEt.S ratings of 1 or 2 and are "well capitalized," Thus, each institution falls into the FDIC Risk Category I deposit insurance assessment scheme. Weights for the CAMELS components to calculate the weighted average CAMELS rating are 25 percent, 20 percent, 25 percent, 10 percent, 10 percent, and 10 percent for the C, A, M, E, L, and S components, respectively. Further, the institutions have the following financial ratios and CAMELS ratings: Calculate the initial deposit insurance assessment rate for each institution. (Do not round intermediate calculations. Round your answers to 3 decimal places. (e.g., 32.161))

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Markets And Institutions

Authors: Stanley Eakins Frederic Mishkin

9th Global Edition

1292215003, 978-1292215006

More Books

Students also viewed these Finance questions

Question

How might a manager go about formalizing the informal organization?

Answered: 1 week ago