Lingenburger Cheese Corporation has 8.1 million shares of common stock outstanding, 300,000 shares of 4.1 percent preferred stock outstanding, par value of $100; and 185,000 bonds with a semiannual coupon rate of 5.5 percent outstanding, par value $2,000 each. The common stock currently sells for $57 per share and has a beta of 1.15, the preferred stock has a par value of $100 and currently sells for $99 per share, and the bonds have 18 years to maturity and sell for 107 percent of par. The market risk premium is 6.6 percent, T-bills are yielding 3.3 percent, and the companys tax rate is 24 percent.

1. What is the firms market value capital structure? (Debt, Preferred Stock, Equity)

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

2. If the company is evaluating a new investment project that has the same risk as the firms typical project, what rate should the firm use to discount the projects cash flows? (Discount Rate)

Note: Do not round intermediate calculations enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.