What weights should emerson use when computing the firms


(Defining capital structure weights) In August of 2015 the capital structure of the Jefferson Corporation (measured in book and market values) appeared as follows: (Thousands of dollars) Book Values Market Values

Short-term debt $ 1,221,000 $ 1,221,000

Long-term debt  11,927,000  11,927,000

Common equity   9,113,000  26,170,000

Total capital $22,261,000 $39,318,000

What weights should Emerson use when computing the firm’s weighted average cost of capital?

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Financial Management: What weights should emerson use when computing the firms
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