Dani Corporation has $6$ million shares of common stock outstanding. The current share price is $$72,$ and the book value per share is $$9.$ The company also has two bond issues outstanding. The first bond issue has a face value of $$85$ million, a coupon rate of $5$ percent, and sells for $97$ percent of par. The second issue has a face value of $$70$ million, a coupon rate of $4$ percent, and sells for $109$ percent of par. The first issue matures in $21$ years, the second in $8$ years. Both bonds make semiannual coupon payments.

a$.$

What are the company's capital structure weights on a book value basis? $($Do not round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,\mathrm{.}1616.)$

b$.$ What are the company$$s capital structure weights on a market value basis? $($Do not round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,\mathrm{.}1616.)$Dani Corporation has $6$ million shares of common stock outstanding. The current share

price is $$72,$ and the book value per share is $$9.$ The company also has two bond issues

outstanding. The first bond issue has a face value of $$85$ million, a coupon rate of $5$

percent, and sells for $97$ percent of par. The second issue has a face value of $$70$

million, a coupon rate of $4$ percent, and sells for $109$ percent of par. The first issue

matures in $21$ years, the second in $8$ years. Both bonds make semiannual coupon

payments.

a$.$ What are the company's capital structure weights on a book value basis? $($Do not

round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,$

$\mathrm{.}1616.)$

b$.$ What are the company's capital structure weights on a market value basis? $($Do not

round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,$

$\mathrm{.}1616.)$

c$.$ Which are more relevant, the book or market value weights?

Market value

Book value