Kaye's Kitchenware has a market/book ratio equal to 1. Its stock price is $14 per share and it has 4.5 million shares outstanding. The firm's total capital is $110 million and it finances with only debt and common equity. What is its debt-to-capital ratio? Round the answer to two decimal places.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter3: Evaluation Of Financial Performance
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Kaye's Kitchenware has a market/book ratio equal to 1.
Its stock price is $14 per share and it has 4.5 million
shares outstanding. The firm's total capital is $110
million and it finances with only debt and common equity.
What is its debt-to-capital ratio? Round the answer to two
decimal places.
Transcribed Image Text:Kaye's Kitchenware has a market/book ratio equal to 1. Its stock price is $14 per share and it has 4.5 million shares outstanding. The firm's total capital is $110 million and it finances with only debt and common equity. What is its debt-to-capital ratio? Round the answer to two decimal places.
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