Can you explain. Give an example with explanation step by step with answer. This is for my study guide.

table 11.1 Corporate Tax Rates Taxable Income $0 50,001 75,001 335,001 10,000,001 15,000,001 18.333334 $50,000 75,000 100,000 335,000 10,000,000 15,000,000 Tax Rate 15 % 25 34 39 34 35 38 35 Suppose that LilyMac Photography expects EBIT to be approximately $500,000 per year for the foreseeable future, and that it has 2,000 10-year, 8 percent annual coupon bonds outstanding. (Use Table 111) What would the appropriate tax rate be for use in the calculation Of the debt component of LilyMac's WACC? 31 FarCry Industries, a maker of telecommunications equipment, has 2 million shares of common stock Outstanding, 1 million shares Of preferred stock outstanding. and 10,000 bonds. Suppose the common shares sell for $25 per share, the preferred shares sell for S13_50 per share, and the bonds sell for 97 percent of par. What weight should you use for preferred stock in the computation Of Farcry's WACC? (Round your answer to 2 decimal places.) Weight used