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Problem 13-15 Capital Structure (LO3) In 2018, Caterpillar Inc. had about 710 million shares outstanding. Their book value was $38.0 per share, and the market

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Problem 13-15 Capital Structure (LO3) In 2018, Caterpillar Inc. had about 710 million shares outstanding. Their book value was $38.0 per share, and the market price was $85.00 per share. The company's balance sheet shows that the company had $29.50 billion of long-term debt, which was currently selling near par value. a. What was Caterpillar's book debt-to-value ratio? (Do not round intermediate calculations. Enter your answer as a decimal rounded to 2 decimal places.) b. What was its market debt-to-value ratio? (Do not round intermediate calculations. Enter your answer as a decimal rounded to 2 decimal places.) c. Which measure should you use to calculate the company's cost of capital? a. Book debt-to-value ratio b. Markeet debt-to-value ratio C. Measure

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