As a matter of prudence, RBI has stipulated that scheduled commercial banks operating in India shall maintain a minimum total capital (MTC) of 9% of total risk weighted assets (RWAs) i.e., capital to risk weighted assets (CRAR). This will be further divided into different components I. Common Equity Tier 1 (CET1) capital must be at least 5.5% of risk-weighted assets (RWAs) i.e., for credit risk + market risk + operational risk on an ongoing basis. II. Tier 1 capital must be at least 7% of RWAs on an ongoing basis. Thus, within the minimum Tier 1 capital, Additional Tier 1 capital can be admitted maximum at 1.5% of RWAs. III. Total Capital (Tier 1 Capital plus Tier 2 Capital) must be at least 9% of RWAs on an ongoing basis. Thus, within the minimum CRAR of 9%, Tier 2 capital can be admitted maximum up to 2%. IV. If a bank has complied with the minimum Common Equity Tier 1 and Tier 1 capital ratios,then the excess Additional Tier 1 capital can be admitted for compliance with the minimum CRAR of 9% of RWAs. V. In addition to the minimum Common Equity Tier 1 capital of 5.5% of RWAs, banks are also required to maintain a capital conservation buffer (CCB) of 2.5% of RWAs6 in the form of Common Equity Tier 1 capital
(34.03 + 101.98) ÷ 17.211 = 89.9 – 25.23% of ?
? = 49.99² ÷ (1.98⁵ + 8.01 × 89.91) + 75.15% of (263.89 × 49.11)
26.23 × 31.82 + 44.8% of 1200 + ? = 1520
? = 54.89 × 270.08 ÷ 135.17 + 464.35 ÷ 29.03
40.08% of 299.89 = ?% of (11.98 × 10.02) + 5.982
185.92 ÷ 5.98 - (4.002)2 + 114.03 of 5.03 ÷ 18.99 of 6.04 = 5.01 of 2.99 + ? ÷ 12.02
A Sales Executive gets a commission on total sales at 10%. If the sale is exceeded Rs.15,000 he gets an additional commission as a bonus of 5% on the ex...
?3 - (77.98 ÷ 6.09 + 10.12)2 + (2.015 - 11.983)2 = 20.01 × (215.98(2/3) - √36.03)