Problem $14-12$ Book Value versus Market Value $[$LO$3]$

Dani Corporation has $9$ million shares of common stock outstanding. The current share price is $$75,$ and the book value per share is $$6.$ The company also has two bond issues outstanding. The first bond issue has a face value of $$100$ million, a coupon rate of $4$ percent, and sells for $96$ percent of par. The second issue has a face value of $$85$ million, a coupon rate of $3$ percent, and sells for $108$ percent of par. The first issue matures in $24$ years, the second in $7$ years. Both bonds make semiannual coupon payments.

a$.$ What are the company's capital structure weights on a book value basis? $($Do not round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,\mathrm{.}1616.)$

b$.$ What are the company's capital structure weights on a market value basis? $($Do not round intermediate calculations and round your answers to $4$ decimal places, e$.$g$.,\mathrm{.}1616.)$

$\backslash$table$[[$a$.$ Equity$/$Nalue$,],[$a$.$ Debt$/$Value$,],[$b$.$ Equity$/$Nalue$,],[$b$.$ Debt$/$Value$,]]$

c$.$ Which are more relevant, the book or market value weights?