Morton Ltd currently has $40,000 of market value debt outstanding. The 8 per cent coupon bonds (Semi-annual pay) have a maturity of 20 years, a face value of $1,000 and are currently priced at $1,036.45 per bond. The company also has an issue of 6,000 preference shares outstanding with a market price of $40. The preference shares offer an annual dividend of $1.20. Morton Ltd also has 15,000 ordinary shares outstanding with a price of $30per share. Calculate the weight of debt.