Lingenburger Cheese Corporation has $6\mathrm{.}3$ million shares of common stock outstanding, $220,000$ shares of $3\mathrm{.}6$ percent preferred stock

outstanding, par value of $$100$; and $105,000$ bonds with a semiannual coupon rate of $5\mathrm{.}3$ percent outstanding, par value $$1,000$ each.

The common stock currently sells for $$73$ per share and has a beta of $1\mathrm{.}15,$ the preferred stock has a par value of $$100$ and currently

sells for $$83$ per share, and the bonds have $17$ years to maturity and sell for $107$ percent of par. The market risk premium is $7\mathrm{.}1$ percent,

T$-$bills are yielding $3\mathrm{.}1$ percent, and the company's tax rate is $23$ percent.

a$.$ What is the firm's market value capital structure?

Note: Do not round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,\mathrm{.}1616.$

b$.$ If the company is evaluating a new investment project that has the same risk as the firm's typical project, what rate should the firm

use to discount the project's cash flows?

Note: Do not round intermediate calculations enter your answer as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.$

a$.$ Debt

Preferred stock

Equity

b$.$ Discount rate

$\%$Graffiti Advertising, Incorporated, reported the following financial statements for the last two years.

$2022$ Income Statement

Sales $ $568,700$

Costs of goods sold $273,990$

Selling & administrative $124,726$

Depreciation $54,569$

EBIT $ $115,415$

Interest $19,450$

EBT $ $95,965$

Taxes $38,386$

Net income $ $57,579$

Dividends $ $10,300$

Addition to retained earnings $47,279$

GRAFFITI ADVERTISING, INCORPORATED

Balance Sheet as of December $31,2021$

Cash $ $13,390$ Accounts payable $ $9,497$

Accounts receivable $18,987$ Notes payable $14,501$

Inventory $13,801$ Current liabilities $ $23,998$

Current assets $ $46,178$ Long$-$term debt $ $136,240$

Net fixed assets $ $344,636$ Owners' equity $ $230,576$

Total assets $ $390,814$ Total liabilities and owners$$ equity $ $390,814$

GRAFFITI ADVERTISING, INCORPORATED

Balance Sheet as of December $31,2022$

Cash $ $14,376$ Accounts payable $ $10,519$

Accounts receivable $21,092$ Notes payable $16,473$

Inventory $22,761$ Current liabilities $ $26,992$

Current assets $ $58,229$ Long$-$term debt $ $152,700$

Net fixed assets $ $406,304$ Owners' equity $ $284,841$

Total assets $ $464,533$ Total liabilities and owners$$ equity $ $464,533$

Calculate the operating cash flow.

Note: Do not round intermediate calculations and round your answer to the nearest whole number, e$.$g$.,32.$

Calculate the change in net working capital.

Note: Do not round intermediate calculations and round your answer to the nearest whole number, e$.$g$.,32.$

Calculate the net capital spending.

Note: Do not round intermediate calculations and round your answer to the nearest whole number, e$.$g$.,32.$

Calculate the cash flow from assets.

Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e$.$g$.,32.$

Calculate the cash flow to creditors.

Note: Do not round intermediate calculations and round your answer to the nearest whole number, e$.$g$.,32.$

Calculate the cash flow to stockholders.

Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e$.$g$.,32.$