Calculate the total value of assets, liabilities and equity capital of Global Bank. b) Calculate the equity
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Question:
Calculate the total value of assets, liabilities and equity capital of Global Bank.
b) Calculate the equity capital ratio of Global Bank. What does the ratio tell you?
c) How much from net loans and leases would Global Bank have to lose to completely deplete its equity capital? Please provide your answer as a total value and as a ratio to net loans and leases.
d) Global Bank decides to fund an extra $250 million worth of real estate loans by accepting $250 million worth of deposits.
What is the new equity capital ratio?
Related Book For
Financial Reporting Financial Statement Analysis and Valuation a strategic perspective
ISBN: 978-1337614689
9th edition
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
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