Filer Manufacturing has 9,908,628 shares of common stock outstanding. The current share price is $62.35, and the book value per share is $4.17. Filer Manufacturing also has two bond issues outstanding. The first bond issue has a face value of $69,297,716, has a 0.07 coupon, matures in 16 years and sells for 94 percent of par. The second issue has a face value of $43,022,656, has a 0.07 coupon, matures in 15 years, and sells for 93 percent of par. What is Filer's weight of equity on a market value basis?
Filer Manufacturing has 9,908,628 shares of common stock outstanding. The current share price is $62.35, and the book value per share is $4.17. Filer Manufacturing also has two bond issues outstanding. The first bond issue has a face value of $69,297,716, has a 0.07 coupon, matures in 16 years and sells for 94 percent of par. The second issue has a face value of $43,022,656, has a 0.07 coupon, matures in 15 years, and sells for 93 percent of par. What is Filer's weight of equity on a market value basis?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Filer Manufacturing has 9,908,628 shares of common stock outstanding. The current share price is $62.35, and the book value per share is $4.17. Filer Manufacturing also has two bond issues outstanding. The first bond issue has a face value of $69,297,716, has a 0.07 coupon, matures in 16 years and sells for 94 percent of par. The second issue has a face value of $43,022,656, has a 0.07 coupon, matures in 15 years, and sells for 93 percent of par. What is Filer's weight of equity on a market value basis? Enter the answer with 4 decimals (e.g. 0.2345)
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