What is the weight of Debt JFG would use

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Question - JFG, Inc. has the following capital structure:

1. 9.1 million shares which are priced at $26.33/share.

2. Bonds: The 200,000 bonds mature in 10 years, have a par (face) value of $1,000, a 7% annual coupon, and a yield to maturity of 8.25%.

Required - What is the weight of Debt (Wd) JFG would use in their WACC calculation?

Reference no: EM133046639

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