Pandora Manufacturing has 10 million shares of common stock outstanding. The current share price is $82, 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 $85 million and a coupon rate of 5 percent and sells for 97 percent of par. The second issue has a face value of $55 million and a coupon rate of 6 percent and sells for 105 percent of par. The first issue matures in 20 years, the second in 9 years

a. What are the companys capital structure weights on a book value basis?

b. What are the companys capital structure weights on a market value basis?

c. Which are more relevant, the book or market value weights?

a.	Equity/Value
	Debt/Value
b.	Equity/Value
	Debt/Value
c.	More relevant