Question: please answer all or none Chapter 17 1. If a bank is falling short of meeting its capital requirements by $1 million, what three things
Chapter 17 1. If a bank is falling short of meeting its capital requirements by $1 million, what three things can it do to rectify the situation? 2. X-Bank reported an ROE of 15.00% and an ROA of 3.00%. How well capitalized is this bank? Page 2 of 8 HW 1 FIN 353 3. Below is the balance sheet for Tribank. The required reserve ratio is 11.00%. Deposits fall by $5. What does the new balance sheet look like? How much money does the bank need to meet required reserves if any? Table 2 Assets Liabilities Required Reserves Checkable $11.00 $100 Deposits Excess Bank Capital $3 $9 Reserves T-bills Loans $45 $50 4. To meet any shortfall in the previous question, TriBank will borrow the cash in the fed funds market. What does the balance sheet look like after this ansaction
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