Determining the adequacy of a bank's capital is important, not only to assess the strength of an individual bank, but also to evaluate the safety and soundness of the entire banking system. The OCC is also required to analyze capital adequacy in taking action on various types of applications such as mergers and branches.
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Determining the adequacy of a bank's capital is important, not only to assess the strength of an individual bank, but also to evaluate the safety and soundness of the entire banking system. The OCC is also required to analyze capital adequacy in taking action on various types of applications such as mergers and branches.
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