Book Co. has 1.3 million shares of common equity with a par (book) value of $1.40, retained earnings of $31.6 million, and its shares have a market value of $48.49 per share. It also has debt with a par value of $19.6 million that is trading at 103% of par.
a. What is the market value of its equity?
b. What is the market value of its debt?
c. What weights should it use in computing its WACC?
a. What is the market value of its equity?
The market value of the equity is
$nothing
million. (Round to two decimal places.)
b. What is the market value of its debt?
The market value of the debt is
$nothing
million. (Round to two decimal places.)
c. What weights should it use in computing its WACC?
The debt weight for the WACC calculation is
nothing%.
(Round to two decimal places.)The equity weight for the WACC calculation is
nothing%.
(Round to two decimal places.)
Book Co. has 1.3 million shares of common equity with a par (book) value of $1.40,...
2. Book Co. has 1.2 million shares of common equity with a par (book) value of $1.05, retained earnings of $28.2 million, and its shares have a market value of $49.88 per share. It also has debt with a par value of $21.3 million that is trading at 102% of par. a. What is the market value of its equity? b. What is the market value of its debt? c. What weights should it use in computing its WACC? a....
Book Co. has 1.4 million shares of common equity with a par (book) value of $1.30, retained earnings of $29.4 million, and its shares have a market value of $49.37 per share. It also has debt with a par value of $20.4 million that is trading at 103% of par. a. What is the market value of its equity? b. What is the market value of its debt? c. What weights should it use in computing its WACC? a. What...
Book Co. has 1.8 million shares of common equity with a par (book) value of $1.05, retained earnings of $28.1 million, and its shares have a market value of $49.59 per share. It also has debt with a par value of $19.6 million that is trading at 105% of par. a. What is the market value of its equity? b. What is the market value of its debt? c. What weights should it use in computing its WACC? a. What...
Book Co. has 1.0 million shares of common equity with a par (book) value of $1.00, retained earnings of $30.0 million, and its shares have a market value of $50.00 per share. It also has debt with a par value of $20.0 million that is trading at 101% of par. a. What is the market value of its equity? b. What is the market value of its debt? c. What weights should it use in computing its WACC? a. What...
Book Co. has 1.1 million shares of common equity with a par (book) value of $ 1.40, retained earnings of $ 28.2 million, and its shares have a market value of $ 50.83 per share. It also has debt with a par value of $ 21.9 million that is trading at 103 % of par. a. What is the market value of its equity? b. What is the market value of its debt? c. What weights should it use in...
MV Corporation has debt with market value of $104 million, common equity with a book value of $95 million, and preferred stock worth $17 million outstanding. Its common equity trades at $53 per share, and the firm has 5.9 million shares outstanding. What weights should MV Corporation use in its WACC? The debt weight for the WACC calculation is nothing%. (Round to two decimal places.)The preferred stock weight for the WACC calculation is nothing%. (Round to two decimal places.)The common...
Book co. has 1.0 million shares of common stock equity with a par (book) value of $1.00, retained earnings of $30.0 million, and its shares have a market value of $50.00 per share. it also has debt with a par value of $20.00 million that is trading at 101% of par. a. What is the market value of its equity? b. What is the market value of its debt? c. What weights should it use in computing its WACC?
1. MV Corporation has debt with market value of $98 million, common equity with a book value of $102 million, and preferred stock worth $17 million outstanding. Its common equity trades at $54 per share, and the firm has 6.4 million shares outstanding. What weights should MV Corporation use in its WACC? The debt weight for the WACC calculation is %. (Round to two decimal places.) The preferred stock weight for the WACC calculation is %. (Round to two decimal...
MV Corporation has debt with market value of $97 million, common equity with a book value of $104 million, and preferred stock worth $20 milion outstanding. Its common equity trades at $54 per share, and the firm has 5.8 million shares outstanding. What weights should MV Corporation use in its WACC? The debt weight for the WACC calculation is □%. (Round to two decimal places.)
Bonaime, Inc., has 7.5 million shares of common stock outstanding. The current share price is $62.50, and the book value per share is $5.50. The company also has two bond issues outstanding. The first bond issue has a face value of $71.5 million, a coupon rate of 7 percent, and sells for 90.5 percent of par. The second issue has a face value of $36.5 million, a coupon rate of 8 percent, and sells for 89.5 percent of par. The...