单词 | total capital |
释义 | total capitalDefinition The measure of a bank's qualifying capital in the calculation of its risk based capital reserves. The calculation for total capital is Tier 1 equity capital, consisting of common and qualifying preferred stocks, plus Tier 2 capital, made up of subordinated debt, loan losses and preferred stock not counted in Tier 1 capital. Use 'total capital' in a SentenceThe bank was interesting and I decided to ask them what their total capital was, which took them by complete surprise. While evaluating the companies request for a loan, the bank took in to account the total capital the company had to determine the viability of their stocks. The bank's total capital had been steadily declining for several years in a row, disqualifying the institution from a government bailout. |
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