If the value of bank's loans declines,what is the corresponding reduction in a liability entry that the bank makes?

Question

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When the value of a bank's loans declines, the corresponding reduction in liability entry would be in the net worth of the bank. Net worth is the difference between a bank's assets and its liabilities, and it represents the total value of the bank's equity. Therefore, any decline in the value of a bank's loans would decrease the bank's net worth and reduce its overall equity. This reduction in net worth would also affect the bank's ability to make future loans and investments, as it would have fewer assets to work with.

If the Value of Bank's Loans Declines,what Is the Corresponding