Question: 1. 2. Based on the following table, does the bank have sufficient Tier 1 capital according to the Basel III standards? Recall: Tier 1 standard

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1. 2. Based on the following table, does the bank have sufficient

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Tier 1 capital according to the Basel III standards? Recall: Tier 1

Based on the following table, does the bank have sufficient Tier 1 capital according to the Basel III standards? Recall: Tier 1 standard (including capital conservation buffer) is 8.5% and Tier 1+Tier 2 standard (including capital conservation buffer) is 10.5%. Risk-Weight Assets ($M) Risk-Weighted Category Assets ($M) 1500 20% 450 90 50% 1,000 100% 1,000 TOTAL Risk-Weighted Assets | 1,590 Capital (SM) 120 50 0% Tier 1 Tier 2 500 1,000 Yes Based on the following table, does the bank have sufficient Tier 1+2 capital according to the Basel III standards? Recall: Tier 1 standard (including capital conservation buffer) is 8.5% and Tier 1+Tier 2 standard (including capital conservation buffer) is 10.5%. Risk-Weight Assets ($M) Risk-Weighted Category Assets (SM) 0% 150 20% 450 50% 1,000 100% 1,000 1,000 | TOTAL Risk-Weighted Assets | 1,590 Tier 1 Tier 2 Capital ($M) 120 50 90 500 Yes o No Based on the following table, does the bank have sufficient Tier 1 capital according to the Basel III standards? Recall: Tier 1 standard (including capital conservation buffer) is 8.5% and Tier 1+Tier 2 standard (including capital conservation buffer) is 10.5%. Risk-Weight Assets ($M) Risk-Weighted Category Assets ($M) 1500 20% 450 90 50% 1,000 100% 1,000 TOTAL Risk-Weighted Assets | 1,590 Capital (SM) 120 50 0% Tier 1 Tier 2 500 1,000 Yes Based on the following table, does the bank have sufficient Tier 1+2 capital according to the Basel III standards? Recall: Tier 1 standard (including capital conservation buffer) is 8.5% and Tier 1+Tier 2 standard (including capital conservation buffer) is 10.5%. Risk-Weight Assets ($M) Risk-Weighted Category Assets (SM) 0% 150 20% 450 50% 1,000 100% 1,000 1,000 | TOTAL Risk-Weighted Assets | 1,590 Tier 1 Tier 2 Capital ($M) 120 50 90 500 Yes o No

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