Kaye's Kitchenware has a market/book ratio equal to 1. Its stock price is $15 per share and it has 5.3 million shares outstanding. The firm's total capital is $125 million and it finances with only debt and common equity. What is its debt-to-capital ratio? Round your answer to two decimal places.
Kaye's Kitchenware has a market/book ratio equal to 1. Its stock price is $15 per share and it has 5.3 million shares outstanding. The firm's total capital is $125 million and it finances with only debt and common equity. What is its debt-to-capital ratio? Round your answer to two decimal places.
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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Kaye's Kitchenware has a market/book ratio equal to 1. Its stock price is $15 per share and it has 5.3 million shares outstanding. The firm's total capital is $125 million and it finances with only debt and common equity. What is its debt-to-capital ratio? Round your answer to two decimal places.
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