Question: What is the contribution to the asset base of the following items under the Basel requirements? Under the U. S. capitalto-assets rule?
a. $10 million cash reserves.
b. $50 million 91-day U. S. Treasury bills.
c. $5 million U. K. government bonds, AAA rated.
d. $1 million general obligation municipal bonds.
e. $40 million repurchase agreements (against U. S. Treasuries).
f. $500 million one- to four-family home mortgages.
g. $500 million commercial and industrial loans, BBB rated.
h. $100,000 performance-related standby letters of credit to a blue chip corporation.
i. $7 million commercial letter of credit to a foreign, A rated corporation.
j. $8 million banker's acceptance conveyed to a U. S. , AA rated corporation.
k. $17 million three-year loan commitment to a private agent.
l. $17 million three-month loan commitment to a private agent.
m. $30 million standby letter of credit to back a corporate issue of commercial paper.
n. $4 million five-year interest rate swap with no current exposure (the counterparty is a private agent).
o. $6 million two-year currency swap with $500,000 current exposure (the counterparty is a private agent).