Dani Corporation has 7 million shares of common stock outstanding. The current share price is $73, 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 $90 million, has a coupon rate of 6 percent, and sells for 98 percent of par. The second issue has a face value of $75 million, has a coupon rate of 5 percent, and sells for 110 percent of par. The first issue matures in 22 years, the second in 7 years. Both bonds make semiannual coupon payments.

A) What are the company's capital structure weights on a book value basis?

Note: Do not round intermediate calculations and round your answers to 4 decimal places, e.g., .1616.

B) What are the companys capital structure weights on a market value basis?

Note: Do not round intermediate calculations and round your answers to 4 decimal places, e.g., .1616.

C) Which are more relevant, the book or market value weights?

\begin{tabular}{|c|c|} \hline a. Equity/Nalue & 0.3373x \\ \hline Debt/Value & 0.6627 \\ \hline b. Equity/Nalue & 0.8108x \\ \hline Debt/Value & 0.1892x \\ \hline c. More relevant & Market value \\ \hline \end{tabular}