Question: 2. Using the information provided in the table, determine the information missing below (the YELLOW cells). Assume LMM has a 21 percent tax rate. Maturity
| 2. Using the information provided in the table, determine the information missing below (the YELLOW cells). Assume LMM has a 21 percent tax rate. | ||||||||
| Maturity Year | Book value (millions) | Percent of total | Market value (millions) | Percent of total | Yield to Maturity | Book values | Market values | |
| 2021 | $ 250 | 0.17 | 266.06 | 0.17 | 0.963% | 0.17% | 0.16% | |
| 2027 | 300 | 0.21 | 326.99 | 0.21 | 1.776% | 0.37% | 0.37% | |
| 2048 | 400 | 0.28 | 459.24 | 0.29 | 3.274% | 0.90% | 0.96% | |
| 2050 | 500 | 0.34 | 506.39 | 0.32 | 3.034% | 1.05% | 0.99% | |
| Total | $ 1,450 | 1.00 | $ 1,558.68 | 1.00 | 2.48% | 2.49% | ||
| Weights | ||||||||
| Book value of debt | ? | million | ||||||
| Book value of equity | ? | million | ||||||
| Book value of company | ? | million | ||||||
| Market value of debt | ? | million | ||||||
| Market value of equity | ? | million | ||||||
| Market value of company | ? | million | ||||||
| WACC using book value | ? | |||||||
| WACC using market value | ? | |||||||
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