question 25

O $167.03 QUESTION 25 - Delta Airlines has 10,000 Bonds Outstanding with a $700 Current Market Price. The YTM of the Bonds is 5% - The Firm's Tax Rates 20% - The Company's 100.000 Shares of Preferred Stock Outstanding pay a $3Anus Dividend and Sell for $30 Per Share - Delta's 400,000 Shares Outstanding have a Current Price of $100.00 and are expected to grow at a Constant Rate of 10%. The Expected Dividend (D1) is $2.00 What is the Firm's Capital Structure? 14% Debt, 10% Preferred Stock and 70% Equity 20% Debt, 5% Preferred Stock and 75 Equity 14% Debt, o Preferred Stock and 80% Equity 15% Debt, 5% Preferred Stock and 80 Equity QUESTION 26 What is the Firm's Cost of Debt? The Interest Rate on the Firm's Two-Year Loan is 4.5% The Coupon Rate of the Firm's 10-Year Bond is ex The Required Return on the Firm's Preferred Stock is 8.5% The Yield to Maturity (YTM) of the Firm's 10-Year Bond is 8% QUESTION 27 Save All Answer MacBook Air