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Fords equity is worth $50 per share, and there are 1 billion shares outstanding. Ford has also issued bondseach bond trades at $1,000, and there
Fords equity is worth $50 per share, and there are 1 billion shares outstanding. Ford has also issued bondseach bond trades at $1,000, and there are 0.2 billion bonds outstanding. Finally, Ford has $20 billion worth of excess cash on its balance sheet. When computing Fords WACC, what should you use for D/V? (hint: $1,000*0.1 billion = $100 billion).
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