Disregarding the capital conservation buffer, what is the banks capital adequacy level (under Basel III) if the par value of its equity is $ 225,000, surplus value of equity is $ 200,000, retained earnings is $ 565,545, qualifying perpetual preferred stock is $ 50,000, subordinate debt is $ 50,000,...

CET1 capital 225000 200000 565545 990545 Tier I capital 990545 50000 1040545 and total capital 10 ...

Disregarding the capital conservation buffer, what is the banks capital adequacy level (under Basel III) if the

Question:

Disregarding the capital conservation buffer, what is the bank’s capital adequacy level (under Basel III) if the of its equity is $ 225,000, surplus value of equity is $ 200,000, retained earnings is $ 565,545, qualifying perpetual preferred stock is $ 50,000, subordinate debt is $ 50,000, and loan loss reserve is $ 85,000? Does the bank meet Basel (CET1, Tier I, and Tier II) adequately capitalized standards? Does the bank comply with the well- capitalized leverage ratio requirement?

Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...