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Huntington Power Co. has issued following three securities as its long-term source of capital. Calculate the weights of each source of capital (k d ,
Huntington Power Co. has issued following three securities as its long-term source of capital. Calculate the weights of each source of capital (kd, kp, ke).
Debt: 2,000 bonds outstanding, current market price of the bond is $889.0.
Preferred Stock: 1,500 shares outstanding, selling for $101.
Common Stock: 10,000 shares outstanding, selling for $105 per share.
a. | 45.63%; 1.72%; 52.65% | |
b. | 43.48%; 2.28%; 54.24% | |
c. | 59.67%; 6.22%; 34.11% | |
d. | 59.67%; 5.08%; 35.24% | |
e. | 45.63%; 2.23%; 52.14% | |
f. | 59.67%; 5.08%; 34.55% |
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