Based on the following info, please consider the following 2 questions
A. What is the capital structure weight of equity on a book value basis?
B. What is the capital structure weight of debt on a book value basis?
The common stock share price is $51.00
10,100,000 shares outstanding.
$5 = Book Value Per Share
There are two bonds outstanding
Bond 1 face value is $80 million. It sells at 91% of par.
Bond two's face value is $58.58 million. It sells at 93.8% of par.