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The BEAR Company has 2200 bonds outstanding that have a market price of $1188 each and a face value of $1000. floatation cost is 0.022

The BEAR Company has 2200 bonds outstanding that have a market price of $1188 each and a face value of $1000. floatation cost is 0.022 the bond pays coupon of 0.06 quarterly for 20 years. The company also has 6,000 shares of preferred stock at a market price of $35 and dividends 0.9 each par value 20 dollars. The common stock is priced at $30 a share it is undervalued by $1.5 and there are 35000 shares outstanding, par value is 5 dollars the stock is pays $2 and will continue to grow at a rate of 0.05 TAXES ARE 0.4
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