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    Question

    Which among the following correctly denotes Capital

    Adequacy ratio ?
    A (Tier I Capital) divided by Risk weighted assets Correct Answer Incorrect Answer
    B (Tier I Capital + Tier II Capital) divided by Risk weighted asset Correct Answer Incorrect Answer
    C (Tier I Capital – Tier II Capital) divided by Risk weighted assets Correct Answer Incorrect Answer
    D (Tier II Capital) divided by Risk weighted assets Correct Answer Incorrect Answer
    E None of the above Correct Answer Incorrect Answer

    Solution

    [(Tier I Capital + Tier II Capital )divided by Risk weighted asset]

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