A firm has determined its optimal capital structure, which is composed of the following sources and target market value proportions: Debt: The firm can sell a 10-year, $1,000 par value, 9 percent bond for 5980 . A flotation cost of 2% of the par value would be required in addition to the discount of 520 Preferred Stock: The firm has determined it can issue preferred stock at $55 per share par value. The stock will pay an $5.00 annual dividend. The cost of issuing and selling the stock is $1.5 per share. Common Stock: The firm's common stock is currently selling for $30 per share. The dividend expected to be paid at the end of the coming year is 56 . Its dividend payments have been growing at a constant rate of 3% for the last five years. It is expected that to sell, a new common stock issue must be underpniced at $2 per share and the firm must pay $1 per share in flotation costs Caiculate the firm's weighted average cost of capital assuming the firm has exhausted all retained earnings (Cax rate: = 20\%s). A firm has determined its optimal capital structure, which is composed of the following sources and target market value proportions: Debt: The firm can sell a 10-year, $1,000 par value, 9 percent bond for 5980 . A flotation cost of 2% of the par value would be required in addition to the discount of 520 Preferred Stock: The firm has determined it can issue preferred stock at $55 per share par value. The stock will pay an $5.00 annual dividend. The cost of issuing and selling the stock is $1.5 per share. Common Stock: The firm's common stock is currently selling for $30 per share. The dividend expected to be paid at the end of the coming year is 56 . Its dividend payments have been growing at a constant rate of 3% for the last five years. It is expected that to sell, a new common stock issue must be underpniced at $2 per share and the firm must pay $1 per share in flotation costs Caiculate the firm's weighted average cost of capital assuming the firm has exhausted all retained earnings (Cax rate: = 20\%s)