Consider the table shown below to answer the question posed in part a. Parts b and c are independent of the given table.

	Number of Share (millions)		Stock Price	=	Market Capitalization ($ millions)
Callaway Golf (ELY)	94.2		27.30	=	$ 2,572
Alaska Air Group (ALK)	123.7		50.70	=	$ 6,272
Yum! Brands (YUM)	301.7		103.07	=	$ 31,096
Caterpillar Tractor (CAT)	543.3		186.66	=	$ 101,412
Microsoft (MSFT)	7,560		242.12	=	$ 1,830,427

The price of Yum! Brands stock has risen to $185. What is the market value of the firms equity if the number of outstanding shares does not change?

Note: Enter your answer in dollars not in billions of dollars.

The rating agency has revised Catalytic Concepts bond rating to A (use Table 2.2). What interest rate, approximately, would the company now need to pay on its bonds?

Note: Enter your answer as a percent rounded to 1 decimal place.

A farmer and a meatpacker use the commodity markets to reduce their risk. One agrees to buy live cattle in the future at a fixed price, and the other agrees to sell. Which one sells?