ROUND ANSWERS TO 2 DECIMAL PLACES

What portion is equity in the firms capital structure?

What is the WACC for Big Dawg Incorporated?

An analyst is trying to determine the capital structure for Big Dawg Incorporated. After some careful research, the analyst knows the following: -Big Dawg has 1.59 million shares of common stock trading today at $20.27 per share. The b estimated to be 1 1 .00%. value of Big Dawg con n stock s 100 nThe cost of it or he ims -Big Dawg has $7.00 million in long-term debt on its balance sheet. The debt is trading at 92.00% of face value in the market with a yield to maturity of 8.00%. The tax rate facing the firm is 40.00%