Multiple Choice Questions: 21. Second National Bank is forecasting a return on equity of 15 percent for this year. The board of directors wants to maintain its current policy of paying the bank's stockholders 40 percent of any net caming the bank will carn. How fast can the bank's assets grow this year without jeopardizing its ratio of capital to assets? A. 15 percent B.9 percent C. 8 percent D. 6 percent 22. In the United States a bank to be considered adequately capitalized must have a ratio of Tier 1 (or core) capital to risk-weighted assets of at least A. 8 percent B. 6 percent C. 10 percent D. 4 percent 23. A bank has $200 million in assets in the percent risk-weight category. It has $400 million in assets in the 20 percent risk-weight category. It has $1.000 million in assets in the 50 percent risk-weight category and has S1,000 million in assets in the 100 percent risk-weight category. This bank has $96 million in Tier I capital and S48 million in Tier 2 capital. What is this bank's ratio of Tier 1 capital to risk assets? A. 6,08 percent B. 3.04 percent C. 9.11 percent D. 5.54 percent 24. A bank has $200 million in assets in the percent risk-weight category. It has S400 million in assets in the 20 percent risk-weight category. It has $1,000 million in assets in the 50 percent risk-weight category and has $1,000 million in assets in the 100 percent risk-weight category. This bank has 596 million in Tier 1 capital and 548 million in Tier 2 capital. What is this bank's ratio of Tier 2 capital to risk assets? A 6.08 percent B.3.04 percent C. 9.11 percent D. S. 54 percent 25. A bank has $200 million in assets in the percent risk-weight category. It has S400 million in assets in the 20 percent risk-weight category. It has