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help please Dani Corp. has 5.5 million shares of common stock outstanding. The current share price is $83, and the book value per share is
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Dani Corp. has 5.5 million shares of common stock outstanding. The current share price is $83, and the book value per share is $5. The company also has two bond issues outstanding. The first bond issue has a face value of $80 million, a coupon rate of 5.5 percent, and sells for 109 percent of par. The second issue has a face value of $45 million, a coupon rate of 5.8 percent, and sells for 108 percent of par. The first issue matures in 21 years, the second in 6 years. Both bonds make semiannual coupon payments. a. What are the company's capital structure weights on a book value basis? b. What are the company's capital structure weights on a market value basis? 4 Input Area: 5 6 Shares outstanding 5,500,000 7 Market price per share $83 8 Book value per share $5 9 Bond I $80.000.000 10 Book value 23 File Insert Draw 2 Calibri 11 ' ' 2 BIUD ab A V Undo Clipboard Font F24 Y X fx A 7 Market price per share 8 Book value per share 9 Bond I 10 Book value 11 Coupon rate 12 Bond price (% of par) 13 Redemption (% of par) 14 Settlement date 15 Maturity date 16 Payments per year 17 Bond II 18 Book value 19 Coupon rate 20 Bond price (% of par) 21 Redemption (% of par) 22 Settlement date 23 Maturity date 24 Payments per year > Home Paste = A Graded Worksheet + Formulas V B Data Review M de l DO DO P 10 Jul $83 $5 $80,000,000 5.50% 109 100 1/1/2020 1/1/1941 2 $45,000,000 5.80% 108 100 1/1/2020 1/1/2026 2 131 Alia C 3,000,000 5.80% 108 JU 19 20 21 100 22 1/1/2020 23 1/1/2026 24 2 25 m the given information to complete this question. You may enter a 26 d value.) 27 28 29 30 $28 $125 31 32 ny 152.5mx 33 quity 0.1800 34 ebt 0.000 35 456.5m 36 135.8m 37 mpany 592.3m 38 equity 0.7700 39 debt 0.2300 40 41 42 Graded Worksheet + T Step by Step Solution
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