I am having a problem answering the following two questions.. can any one please help me???
(Complete problem found in attachment)
Morgan Inc (MI) bonds pay $110 annually, have 6 years until they mature and have a YTM of 9%. Book value of the bonds is $6.5 million. D/E ratio is 1.6. What is the market value of the equity?
What are the annual sales for a firm with $400,000 in debt, a total debt ratio of .4, and an asset turnover of 3.0?© BrainMass Inc. brainmass.com June 23, 2018, 2:38 am ad1c9bdddf
The solution has two problems dealing with the calculation of market value of equity and total annual sales.