Suppose, subsequently, total nonperforming loans = $35 million. If the regulatory minimum equity ratio is 5 percent, would this bank be in violation after the charge- off? Hint: Watch video for analysis. ASSETS Cash Loans Total assets LIABILITY & EQUITY $70 Deposits 280 Equity (net worth) $350 Total debt & equity $300 50 $350 1) Yes, equity ratio after the charge-off is 14.30% 2) No, equity ratio after the charge-off is 14.30% 3) Yes, equity ratio after the charge-off is 4.8% 4) No, equity ratio after the charge-off is 10% 5) No, equity ratio after the charge-off is 11.11%