Question: 1.00 points Problem 12-19 Calculating Capital Structure Weights (LO 3] Liu Industrial Machines issued 141,000 zero coupon bonds six years ago. The bonds originally had

 1.00 points Problem 12-19 Calculating Capital Structure Weights (LO 3] Liu

1.00 points Problem 12-19 Calculating Capital Structure Weights (LO 3] Liu Industrial Machines issued 141,000 zero coupon bonds six years ago. The bonds originally had 30 years to maturity with a yold to maturity of 7.1 percent. Interest rates have recently increased, and the bonds now have a yield to maturity of 8.2 percent What is the price of the bonds ? (Do not round Intermediate calculations and round your answer to 2 decimal places, ..... 32.16.) Bond price $ What is the market value of the company's debt? (Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, e... 1,234,567. Round your answer to 2 decimal places, e.g. 32.16.) Market value $ ut the company has a 345.6 million market value of equity, what weight should it use for debt when calculating the cost of capital? (Do not round intermediate calculations and round your answer to 4 decimal places, 9., 32.1616.) Weight of debt References eBook & Resources Worksheet Difficulty: 1 Basic Section: 12.4 The Weighted Average cost of Capital Problem 12-19 Calculating Capital Structure Weights (LO 3] Learning Objective: 12-03 Determine a firms overall cost of capital Check my work

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