How much capital is required to back the mortgages if the minimum risk-based capital requirement is 8%?
A) $75.0 million
B) $37.5 million
C) $12.0 million
D) $3.0 million
E) $6.0 million $150,000,000 x 0.50 x 0.08 = $6,000,000; mortgages carry a 50% risk weight
Correct Answer:
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