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Business, 09.11.2019 00:31 shaheedbrown06

In order to accurately assess the capital structure of a firm, it is necessary to convert its balance sheet figures from historical book values to market values. kjm corporation's balance sheet (book values) as of today is as follows: long-term debt (bonds, at par) $23,500,000 preferred stock 2,000,000 common stock ($10 par) 10,000,000 retained earnings 4,000,000 total debt and equity $39,500,000 the bonds have a 8.3% coupon rate, payable semiannually, and a par value of $1,000. they mature exactly 10 years from today. the yield to maturity is 11%, so the bonds now sell below par. what is the current market value of the firm's debt?

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