Santa claus enterprises has 87,000 shares of common stock outstanding at a current price of $39 a share. the firm also has two bond issues outstanding. the first bond issue has a total face value of $230,000, pays 7.1 percent interest annually, and currently sells for 103.1 percent of face value. the second bond issue consists of 5,000 bonds that are selling for $887 each. these bonds pay 6.5 percent interest annually and mature in eight years. the tax rate is 35 percent. what is the capital structure weight of the firms debt?
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Santa claus enterprises has 87,000 shares of common stock outstanding at a current price of $39 a share. the firm also has two bond issues ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Sarah is tasked with analyzing financial records in order to find discrepancies, trends, as well as indicators of where efficiencies may be made. She discovers that Profit and Loss statements indicate possible embezzlement.
Answers (1)
Assume that ice cream is a normal good. If the price of ice cream decreases, the substitution effect and the income effect will lead to which of the following changes in ice cream consumption? A. Increase Decrease B. Increase Increase C.
Answers (1)
Data for a Poisson with mean 10 A BigJet flight from Philadelphia to Boston has 60 seats. The high fare is $400 and the low fare is $100.
Answers (1)
To calculate the unit price of an item, divide the total number of units by the total price. t/f
Answers (1)
Which should be required by a company to mitigate the impact of a custom piece of software being installed by a vendor in case the vendor later goes out of business?
Answers (1)
New Questions in Business
Jake Skinner purchases a big screen TV on credit and will repay the loan with one payment at the end of 90 days. What type of credit did Jake use?
Answers (1)
Which most likely results from producers engaging in specialization? Producers reduce their costs. Producers increase their market share. Producers decrease the materials needed for production. Producers always offer more competitive pricing.
Answers (1)
The workers at State Hospital, a public sector employer, and Acme Inc, a private employer, are subject to speech censorship and arbitrary job termination. Constitutional issues are present only for the State Hospital workers. TrueFalse
Answers (1)
Kyle and lyle want to pool their inheritance money to make a joint investment. they are young and are willing to accept moderate to high risk over a number of years. which combination of investment options best suits their needs?
Answers (1)
Paper Clip Company sells office supplies. The following information summarizes the company's operating activities for the year: Utilities for the store $ 10 comma 300 Sales commissions 10 comma 300 Sales revenue 164 comma 100 Purchases of
Answers (1)