The retention ratio measures the percentage of a company’s earnings that are reinvested rather than distributed as dividends.

Bank A's resulting capital-to-risk weighted assets ratio is calculated by entering the formula "=(B2+B3)/B4)" into cell B5. See below for an example: This ratio determines whether financial ...

A bank's risk-weighted assets are its assets, weighted by their riskiness, that are used to determine the minimum amount of capital that must be held to reduce its risk of insolvency. The formula for ...