(Defining capital structure weights) In August 2015 the capital structure of the Emerson Electric Corporation (EMR) (measured in book and market values) was as follows: ($ Millions) Book Value Market ValueShort-term debt $2,553 $2,553Long-term debt $4,289 $4,289Common equity $8,081 $35,690Total capital $14,923 $42,532 A). The appropriate weight of debt, wd, is %. (Round to one decimal place.) B). The appropriate weight of common equity, wcs, is %. (Round to one decimal place.)
(Defining capital structure weights) In August 2015 the capital structure of the Emerson Electric Corporation (EMR) (measured in book and market values) was as follows: ($ Millions) Book Value Market ValueShort-term debt $2,553 $2,553Long-term debt $4,289 $4,289Common equity $8,081 $35,690Total capital $14,923 $42,532 A). The appropriate weight of debt, wd, is %. (Round to one decimal place.) B). The appropriate weight of common equity, wcs, is %. (Round to one decimal place.)
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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(Defining capital structure weights) In August 2015 the capital structure of the Emerson Electric Corporation (EMR) (measured in book and market values) was as follows:
($ Millions) Book Value Market Value
Short-term debt $2,553 $2,553
Long-term debt $4,289 $4,289
Common equity $8,081 $35,690
Total capital $14,923 $42,532
A). The appropriate weight of debt, wd, is %. (Round to one decimal place.)
B). The appropriate weight of common equity, wcs, is %. (Round to one decimal place.)
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