Capital adequacy ratios
Divya Priya (student) (333 Points)
21 October 2020How this affects banking sector?
Divya Priya (student) (333 Points)
21 October 2020
prasad Nilugal
( GST Practitioner & Accounts )
(14801 Points)
Replied 21 October 2020
Ratio is for minimum capital requirement as per the statutes
Capital adequacy ratio worked out as follows
Capital fund * 100 / Risk weighted assets and off balance sheet items
Also capital fund define to two Tier-I and Tier-II
Tier I - core capital for permanent support against unexpected losses
Tier II - capital is less permanent and support against unexpected losses .
Divya Priya
(student)
(333 Points)
Replied 21 October 2020
prasad Nilugal
( GST Practitioner & Accounts )
(14801 Points)
Replied 21 October 2020
IPCC II - Accounting (new ) I am not sure about new ( old course - P.E course II) .