RAC Flashcards
1
Q
How RAC link to POLG?
A
determine max POLG level for nxt yr
2
Q
What was old RAC method?
A
liquidity not fall less than minimum liquidity requirement over 40yr period
3
Q
What is new RAC method?
A
diff: financing capacity (ST res avail) v commitment capacity (strategic MT LT based capital adeq)
4
Q
2 inputs to RAC?
A
Target Repl, and POLG scenario, RAC is yrly est