In the Tier 1 Capital Ratio based on Basel I calculations, how is the Shareholders Equity derived for estimation of Net Capital? - the second approach - more formal
It's the difference between the Total Assets and Total Liabilities and shown on the bottom line of the balance sheet table.
Hi I would like to know if the material in April 2012 Q7 (i) is still applicable for the April 2015 exam. I feel like I read somewhere (in either Sweeting or ActEd) that capital risk weights are not examinable for this session. Am I imagining this? Although, Simon, I assume you would have eased our nerves had this been the case...
The examiners would not necessarily expect you to know the official weightings for each asset class, but they would expect you to have a reasonable idea about how to risk-weight assets and, as in this question, choose a sensible number and do a bit of maths. PS as far as I know this hasn't changed.....
Sure Simon, it hasn't changed. Alaistair, write down the table and paste at your desk. You will see it 7 times b4 the exam. By the 5th-7th day increase your consciousness to pay attention to it. On Friday you cannot fail to get it right. It's not that bad, but maybe its because I have the topic on SA5 as well
