te nthe question paper Question One A Bank has the following balance sheet (in billions) with the risk weights in parentheses. Cash Treasury securities (0%) Deposit balances due from sh 3.5 25.6 (0%) 4.0 19.7 105.3 sh158.1 other banks (20%) Loans secured by first liens on residential property (50%) Loans to corporations (100%) Total assets Standby letters of credit backing corporate borrowing Long-terin binding commitments to corporate customers sh18.1 40.2 Total off-balance- sheet items Total capital sh11.8 Credit conversion factors follow Performance-related standby LCs Standby LCs backing corporate borrowing Long-term binding commitments to corporate customers 50% 50% 100% The entire on-balance sheet equivalents off-balance sheet items have credit risk weight s of 100 percent. Required: Determine whether the bank has sufficient capital. Explain your ans wer