Calculate hemingway market value based capital structure

Assignment Help Financial Management

Reference no: EM132053095

5 years ago hemingway inc. issued 6000 30 years bonds with par values of 1000 at a coupon rate of 8%. the bonds are now selling to yield 5%. the company also has 15 shares of prefer stockoutstanding that pay a dividend of 6.50 per shere. these are currently selling to yield 10% its common stock its selling at 21, and 200000 shares are outstanding. Calculate Hemingway's market value based capital structure.

Reference no: EM132053095

Questions Cloud

What risk do you face-how could you eliminate risk : You are saving for your child’s college in 8 years and have a fixed income portfolio with a duration of 12. What risk do you face? How could you eliminate risk.

Considering two independent projects with the cash flows : You are considering two independent projects with the following cash flows. The required return for both projects is 10%.

What is the real rate of return for the stock : During the same period, a stock increases in price for $100 to $125.0. What is the real rate of return for the stock for the 3 month period?

Calculate the project npv-irr-discounted payback period : Calculate the project NPV, IRR, Discounted Payback Period and Modified IRR (reinvestment return is 10%).

Calculate hemingway market value based capital structure : Calculate Hemingway's market value based capital structure.

What is the value of philadelphia share : What is the value of a Philadelphia share if the investors’ expected return is 20 percent?

Only rules of thumb in making RE investment decisions : What are the shortcomings of using only rules of thumb in making RE investment decisions?

What was charge for depreciation and amortization : Patterson Brothers recently reported an EBITDA of $12.5 million and net income of $3.5 million. What was its charge for depreciation and amortization?

Describe the difference between asset with beta : Describe the difference between an asset with a Beta of .76 and an asset with a Beta of 1.38.

User Account

All Pages