1- what is the price of one share of the firm stock?

2- if 1 million bonds added in addition to the 2 million already issued at the same market price 830, what effecr would this value on the IPO price of the firm stock?!

rm=62.5%

rf=37%

Firm A has issued a total of 2 million corporate bonds with a maturity of 10 years and a coupon rate of 5 percent. Coupon payments occur once per year, and the face value of firm A's bonds is $1.000. The current market price for one of the bonds issued by firm A is $830, Firm A plans to issue 8 million equity shares to be traded on public exchanges. Each share is expected to pay a $9 cash dividend after one year, and the firm's CFO forecasts earnings per share of $24 for the year ahead. Firm A's return on equity is 16 percent. Under these conditions, the beta of firm Als common stock is estimated at 0.1, and the beta of firm As assets is estimated at 0.5. Firm A has issued a total of 2 million corporate bonds with a maturity of 10 years and a coupon rate of 5 percent. Coupon payments occur once per year, and the face value of firm A's bonds is $1.000. The current market price for one of the bonds issued by firm A is $830, Firm A plans to issue 8 million equity shares to be traded on public exchanges. Each share is expected to pay a $9 cash dividend after one year, and the firm's CFO forecasts earnings per share of $24 for the year ahead. Firm A's return on equity is 16 percent. Under these conditions, the beta of firm Als common stock is estimated at 0.1, and the beta of firm As assets is estimated at 0.5