What is the test for admissible evidence of prior acts under Rule 404(b)?

1 To be admissible under Rule 404(b), evidence of prior acts must: (1) prove a material element of the crime currently charged; (2) show similarity between the past and charged conduct; (3) be based on sufficient evidence; and (4) not be too remote in time. See United States v. Hinton, 31 F.3d 817, 822 (9th Cir.1994).

2 The district court properly applied a preponderance of the evidence standard in determining the amount of Coast's loss. See United States v. Barnes, 125 F.3d 1287, 1290 (9th Cir.1997); United States v. Restrepo, 946 F.2d 654, 661 (9th Cir.1991) (en banc).

3 The failure to consider proximate cause in the 2F1.1(b) analysis does not create a perverse incentive for lending institutions to maximize their losses by refusing to seek the highest price for pledged collateral. The rules that govern the calculation of a defendant's offense level under 2F1.1(b) are unrelated to those that govern the calculation of the restitution, if any, to which a victim is entitled. See United States v. Catherine, 55 F.3d 1462, 1464-65 (9th Cir.1995) (noting the different methods of calculating loss under, and the different purposes behind, the rules governing offense level and restitution calculations).