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Suppose that a company's equity is currently selling for $25.75 per share and that there are 5.50 million shares outstanding. If the firm also has

Suppose that a company's equity is currently selling for $25.75 per share and that there are 5.50 million shares outstanding. If the firm also has 45 thousand bonds outstanding, which are selling at 108.50 percent of par, what are the firm's current capital structure weights for equity and debt respectively?

Multiple Choice

A. 50 percent, 50 percent

B. 65.53 percent, 34.47 percent

C. 74.36 percent, 25.64 percent

D. 23.73 percent, 76.27 percent

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