Given the following pro forma information for a bank, determine its required risk-based capital, both...
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Finance
Given the following pro forma information for a bank, determine its required risk-based capital, both core capital (6% of risk-based assets) and total capital (8% of risk-based assets).
Balance-sheet items:
cash and equivalents (0% risk category) $3,000
short-term loans (20% risk category) 40,000
one-four family mortgages (50% risk category) 15,000
commercial loans (100% risk category) 30,000
Off-balance-sheet items:
Commercial letters of credit (20% risk category) 5,000
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