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* **Total Capital Ratio:** This combines Tier 1 and Tier 2 capital to assess the overall capital adequacy of a financial institution. The total capital ratio is calculated as (Tier 1 Capital + Tier 2 Capital) divided by Risk-Weighted Assets (RWAs). This ratio is a comprehensive measure of a bank's capital relative to its risk-weighted assets. A higher total capital ratio signals that the bank is well-capitalized and has a good financial cushion to withstand losses.
