Business
Business, 11.05.2021 16:40, Key1431

Dinklage Corp. has 7 million shares of common stock outstanding. The current share price is $68, 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 $70 million, a coupon rate of 6%, and sells for 97% of par. The second issue has a face value of $40 million, a coupon rate of 6.5%, and sells for 108% of par. The first issue matures in 21 years, the second in 6 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?

answer
Answers: 3

Other questions on the subject: Business

image
Business, 21.06.2019 14:30, jraemier5861
Island novelties, inc., of palau makes two products—hawaiian fantasy and tahitian joy. each product's selling price, variable expense per unit and annual sales volume are as follows:
Answers: 2
image
Business, 22.06.2019 01:20, Becky81
Which of the following statements concerning an organization's strategy is true? a. cost accountants formulate strategy in an organization since they have more inputs about costs. b. businesses usually follow one of two broad strategies: offering a quality product at a high price, or offering a unique product or service priced lower than the competition. c. a good strategy will always overcome poor implementation. d. strategy specifies how an organization matches its own capabilities with the opportunities in the marketplace to accomplish its objectives.
Answers: 1
image
Business, 22.06.2019 01:50, kkatlynn
Which value describes the desire to be one’s own boss? a. autonomy b. status c. security d. entrepreneurship
Answers: 2
image
Business, 22.06.2019 06:20, karankhatri1946
James albemarle created a trust fund at the beginning of 2016. the income from this fund will go to his son edward. when edward reaches the age of 25, the principal of the fund will be conveyed to united charities of cleveland. mr. albemarle specified that 75 percent of trustee fees are to be paid from principal. terry jones, cpa, is the trustee. james albemarle transferred cash of $500,000, stocks worth $400,000, and rental property valued at $250,000 to the trustee of this fund. immediately invested cash of $360,000 in bonds issued by the u. s. government. commissions of $7,900 are paid on this transaction. incurred permanent repairs of $9,000 so that the property can be rented. payment is made immediately. received dividends of $8,000. of this amount, $3,000 had been declared prior to the creation of the trust fund. paid insurance expense of $4,000 on the rental property. received rental income of $10,000. paid $8,000 from the trust for trustee services rendered. conveyed cash of $7,000 to edward albemarle.
Answers: 2
Do you know the correct answer?
Dinklage Corp. has 7 million shares of common stock outstanding. The current share price is $68, and...

Questions in other subjects:

Konu
Chemistry, 04.02.2020 06:59
Konu
Physics, 04.02.2020 06:59
Konu
History, 04.02.2020 06:59