4) Here I Sit Sofas has 5,700 shares of coumon stock outstinding at a price of 580 per share. There are 590 bonds that matare in 16 years with a coupon rate of 5,4 pereent paid semiannually. The bonds bave a par value of 51,000 each and sell at 92.5 percent of par. The company alse has 4,600 shares of preferred stock outstanding at a price of $33 per sbare. What is the capital structure weight of the debt? A) 5184 B) .6047 C) 4731 D) 5498 E) 3953 5) The Peter Corporstion and the Sellers Company have both announced IPOs. You place an order for 800 shares of cach IPO. One of the IPOs is underpriced by $13.25 and the other is overpriced by $6.00. If you could get all of the shares you ordered for each IPO, what would your profit be? A) 55,800,00 B) 515,400,00 C) $4,833,25 D) $10,600.00 E) 55,316.50 6) The Bruin's Den Outdoor Gear is considering a new -7-year project to produce a new tent line. The equipment necessary would cost $1.95 million and be depreciated using straight-line depreciation to a book value of zero. At the end of the project, the equipment can be sold for 15 percent of its inirial cost. The company believes that it can sell 30,500 tents per year at a price of $78 and variable costs of $37 per tent. The fixed costs will be $535,000 per year. The project will require an initial investment in net working capital of $249,000 that will be recovered at the end of the project. The required rate of roturn is 12.1 percent and the tax rate is 21 percent. What is the NPV? A) $854,426 B) 5991,492 C) 5882,038 D) $750,550 E) 51,103,426