What is the price per share of equity under plan

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Silverton Co. is comparing two different capital structures. Plan I would result in 9,500 shares of stock and $389,500 in debt. Plan II would result in 12,160 shares of stock and $280,440 in debt. The interest rate on the debt is 10 percent. The all-equity plan would result in 19,000 shares of stock outstanding. Ignore taxes for this problem.

What is the price per share of equity under Plan I? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

Price per share            $

What is the price per share of equity under Plan II? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)

Price per share            $

Reference no: EM131869330

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