Capital structure weight of debt on book value basis

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Filer Manufacturing has 9.6 million shares of common stock outstanding. The current share price is $50, and the book value per share is $5. Filer Manufacturing also has two bond issues outstanding. The first bond issue has a face value of $84 million, has a 7 percent coupon, and sells for 92 percent of par. The second issue has a face value of $57.6 million, has a 7 percent coupon, and sells for 95.6 percent of par. The first issue matures in 10 years, the second in 5 years. (a) What is Filer's capital structure weight of equity on a book value basis? (Do not round your intermediate calculations.) (b) What is Filer's capital structure weight of debt on a book value basis? (Do not round your intermediate calculations.) (C) What is Filer's capital structure weight of equity on a market value basis? (Do not round your intermediate calculations.) (b) What is Filer's capital structure weight of debt on a market value basis? (Do not round your intermediate calculations.)

Reference no: EM131185705

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