Ying Import has several bond issues outstanding, each making semiannual interest payments. The bonds are listed in the following table. If the corporate tax rate is 30 percent, what is the aftertax cost of Ying's debt?

Bond	Coupon Rate	Price Quote	Maturity	Face Value
1	5.8%	108	7 years	$ 16,000,000
2	6.8	117	10 years	37,000,000
3	6.2	109	24 years	40,000,000
4	6.7	119	38 years	57,000,000

Multiple Choice

• 3.63%

• 3.49%

• 3.81%

• 3.45%

• 5.19%

Dinklage Corp. has 11.1 million shares of common stock outstanding. The current share price is $48, and the book value per share is $5. The company also has two bond issues outstanding. The first bond issue has a face value of $101 million, has a 7 percent coupon, and sells for 94 percent of par. The second issue has a face value of $74.37 million, has a 7 percent coupon, and sells for 97.6 percent of par. The first issue matures in 10 years, the second in 5 years.

What is the company's capital structure weight of equity on a book value basis?

What is the company's capital structure weight of debt on a book value basis?

What is the company's capital structure weight of equity on a market value basis?

What is the company's capital structure weight of debt on a market value basis?