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Suppose National Bank of Michigan wants to use some of its cash to make a loan to a large borrower. The borrower has 8 in
Suppose National Bank of Michigan wants to use some of its cash to make a loan to a large borrower. The borrower has 8 in real estate assets available to collateralize the loan. The total assets of the bank are 1000, stockholder's equity is 130, goodwill is 30, and allowance for credit losses (ACL) is 20. The maximum permitted loan is
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