The following balance sheet assets for a bank are available (in actual dollars) Assets Cash $ 5,000,000
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Question:
- The following balance sheet assets for a bank are available (in actual dollars)
Assets
Cash $ 5,000,000
Deposits at domestic banks 2,000,000
Municipal securities 10,000,000
Foreign Government securities 3,000,000
Consumer loans outstanding 20,000,000
Commercial loans outstanding 50,000,000
Total assets (on balance-sheet) $ 90,000,000
Off-balance sheet Assets:
Short-term unused loan commitments to
Individuals 5,000,000
Long-term unused loan commitments to
Private corporations 30,000,000
- Calculate the banks total risk-weighted assets (RWA). (24 points)
Related Book For
Fundamentals of Investing
ISBN: 978-0133075359
12th edition
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
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