3. Using the following data to answer the questions. (12 points) The company has a target capital structure of 40% debt and 60% equity. Bonds with face value of $1,000 pay 10% coupon (semi-annual), mature in 20 years, and sell for $849.54 The company stock beta is 1.2 Risk-free rate is 10%, and market risk premium is 5%. The company is a constant-growth firm that just paid a dividend of $2.00, sells for $27 per share, and has a growth rate of 8% Yield to Maturity is 12%. The company's marginal tax rate is 40%. a. The company's after-tax cost of debt is: (3 points) b. The company's cost of equity using the Capital Asset Pricing Model (CAPM) approach is: (3 points) c. The company's cost of equity using the dividend growth model is: (3 points) d. The company's Weighted Average Cost of Capital (WACC), using the cost of equity from CAPM is: (3 points)