CAIIB. ABC Bank has paid up capital of Rs.100 cr, free reserves of Rs.300 cr, provisions and contin

CAIIB. ABC Bank has paid up capital of Rs.100 cr, free reserves of Rs.300 cr, provisions and contingencies reserves reserve of Rs.300 cr, Perpetual non-cumulative preference shares of Rs.400 cr, and subordinated debt of Rs.300 cr. The risks weight for credit and operational risk are Rs.10000 cr and for market risk Rs.4000 cr. Based on the above information, answer the following questions?: 1. What is the amount of Tier-1 capital? a) 900 cr b) 800 cr c) 750 cr d) 610 cr 2. Calculate the amount of Tier-2 capital? a) 900 cr b) 800 cr c) 750 cr d) 610 cr 3. Calculate the amount of capital fund. a) 800 cr b) 1200 cr c) 1410 cr d) 1620 cr 4. What is the capital adequacy ratio of the bank? a) 9% b) 9.65% c) 10.05% d) 10.07% 5. What is amount of minimum capital to support credit and operational risk? a) 900 cr b) 950 cr c) 1000 cr d) 1250 cr 6. What is the amount of minimum Tier 1 and Tier 2 to support the credit and operational risk? a) 900 cr, 900 cr b) 600 cr, 900 cr c) 450 cr, 450 cr d) 300 cr, 450 cr 7. What is the amount of Tier-1 capital fund, to support market risk? a) 450 cr b) 350 cr c) 250 cr d) 185 cr 8. What is the amount of Tier-2 capital fund, to support market risk? a) 450 cr b) 350 cr c) 250 cr d) 160 cr

 

Sub. Debt+ max 1.25% of rwa + 45% of revaluation rev . In d question prov n resr is 200 and revaluation reserve is 300