- CFA Exams
- CFA Level I Exam
- Topic 3. Financial Statement Analysis
- Learning Module 13. Analysis of Financial Institutions
- Subject 2. Analyzing a Bank: The CAMELS approach
CFA Practice Question
Issuance surplus related to common stock is considered to be ______ capital.
B. Tier-2
C. Tier-3
A. Tier-1
B. Tier-2
C. Tier-3
Correct Answer: A
Tier-1 capital is the capital that is permanently and easily available to cushion losses suffered by a bank without it being required to stop operating.
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