Please answer the following question I have four hours Two depository institutions have composite CAMELS ratings of 1 or 2 and are well capitalized Thus, each institution falls into the FDIC Risk Category I deposit insurance assessment scheme Further, the institutions have the following financial ratios and CAMELS ratings Use Table Institution 1 Institution 2 Tier I leverage ratio ( ) 8 82 7 95 Loans past due 3089 days gross assets ( ) 0 65 0 76 Nonperforming assets gross assets ( ) 0 55 0 70 Net loan charge offs gross assets ( ) 0 48 0 52 Net income before taxes risk weighted assets ( ) 2 35 2 06 Adjusted brokered deposits ratio ( ) 0 00 15 76 CAMELS components C 1 1 A 2 2 M 1 2 E 2 3 L 1 1 S 2 1 Pricing Multiplier Uniform Amount 4 861 Tier I leverage ratio ( ) (0 056) Loans past due 30 89 days gross assets ( ) 0 575 Nonperforming assets gross assets ( ) 1 074 Net loan charge offs gross assets ( ) 1 210 Net income before taxes risk weighted assets ( ) (0 764) Adjusted brokered deposits ratio ( ) 0 065 Weighted average CAMELS component ratings 1 095 Calculate the initial deposit insurance assessment rate for each institution (Do not round intermediate calculations Round your answers to 2 decimal places (e g , 32 161)) Institution 1 Institution 2 Initial assessment rate

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Question: Please answer the following question: I have four hours Two depository institutions have composite CAMELS ratings of 1 or 2 and are well capitalized. Thus,

Please answer the following question: I have four hours

Two depository institutions have composite CAMELS ratings of 1 or 2 and are well capitalized. Thus, each institution falls into the FDIC Risk Category I deposit insurance assessment scheme. Further, the institutions have the following financial ratios and CAMELS ratings: Use Table.

	Institution 1	Institution 2
Tier I leverage ratio (%)		8.82	7.95
Loans past due 3089 days/gross assets (%)		0.65	0.76
Nonperforming assets/gross assets (%)		0.55	0.70
Net loan charge-offs/gross assets (%)		0.48	0.52
Net income before taxes/risk-weighted assets (%)		2.35	2.06
Adjusted brokered deposits ratio (%)		0.00	15.76
CAMELS components:
C		1	1
A		2	2
M		1	2
E		2	3
L		1	1
S		2	1

	Pricing Multiplier
Uniform Amount	4.861
Tier I leverage ratio (%)	(0.056)
Loans past due 30-89 days/gross assets (%)	0.575
Nonperforming assets/gross assets (%)	1.074
Net loan charge-offs/gross assets (%)	1.210
Net income before taxes/risk-weighted assets (%)	(0.764)
Adjusted brokered deposits ratio (%)	0.065
Weighted average CAMELS component ratings	1.095

Calculate the initial deposit insurance assessment rate for each institution. (Do not round intermediate calculations. Round your answers to 2 decimal places. (e.g., 32.161))

	Institution 1	Institution 2
Initial assessment rate

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