Suppose that the bank XZV has set aside 1 in allowances for loan loss reserves....

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Accounting

Suppose that the bank XZV has set aside 1 in allowances for loan loss reserves. Its total credit RWAs is 100 million. What is the value of loan loss reserves that qualifies for Tier 2 capital under BASEL 1? a.1.25 million b.1 million c.0.75 million

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