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Masterson, inc has 8 million shares in common stock outstanding. The current share price is $80, and the book value per share is $8. the company also has two bond issues outstanding. The first bond issue has a face value of $125 million, has a coupon rate

Masterson, inc has 8 million shares in common stock outstanding. The current share price is $80, and the book value per share is $8. the company also has two bond issues outstanding. The first bond issue has a face value of $125 million, has a coupon rate of 5 percent, and sells for 91 percent of par. The second issue has a face value of $110 million, has a coupon rate of 4 percent, and sells for 106 percent of par. The first issue matures in 23 years, the second in 9 years. Both bonds make semiannual coupon payments.  a. what are the company's capital structure weights on a book value basis? b. what are the company's capital structure weights on a market value basis? c. which are more relevant, the book or market value weights?

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Masterson, inc has 8 million shares in common stock outstanding. The current share price is $80, and the book value per share is $8. the company also has two bond issues outstanding. The first bond issue has a face value of $125 million, has a coupon rate
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