Chapter 1; Bank Ratios Flashcards
To learn the various ratios used by analysts and regulatory officials when reviewing the perfomormance of a Bank
1
Q
Tier 1 Leverage Ratio Calculation
A
A banking organization’s tier 1 leverage ratio is calculated by dividing its tier 1 capital (the numerator of the ratio) by its average total consolidated assets (the denominator of the ratio).
Source FDIC
