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Question
Royal Bank of New York, a U.S. national bank, has $25 million in capital and surpluses and $42 million in total time and savings deposits. Average revenue for the bank in the last three years is $8.5 million and a net interest income of $2.1 million. What is the maximum volume of real estate loans that the bank can make?
A. $25 million
B. $29.4 million
C. $8.5 million
D. $25.5 million
E. $2.1 million
Answer
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