Inno$-$V$-$Tech Limitednno$--$Tech Limited, a cutting$-$edge technology firm, wants to develop a new product. The company needs R$10$ million and has to decide on the composition of funds to finance the project.The company has four potential sources of funds:$1.$ Ordinary Share Capital: Inno$--$Tech can issue ordinary shares to raise capital from shareholders. The shares are currently trading at R$40$ per share. The last dividend was R$3\mathrm{.}20$ per share and the expected dividend is R$3\mathrm{.}52$ per share. The company may issue up to $500000$ ordinary shares$\mathrm{.}2.$ Preference Share Capital: The company can issue preference shares to investors. The shares pay a dividend of R$3$ per share and are currently trading at R$25$ per share. The company may issue up to $100000$ preference shares$\mathrm{.}3.$ Long$-$Term Loan: The company can borrow up to R$4$ million from a bank. The interest rate on the loan is $18\%\mathrm{.}4.$ Irredeemable Debentures: $15\%$ Debentures with a par value of R$1000$ may be issued. Similar debentures trades at R$937,50.$ The company may issue up to $1600$ debentures.The corporate tax rate is $27\%\mathrm{.}5\mathrm{.}1$ Calculate the cost of each source of capital$\mathrm{.}5\mathrm{.}2$ With the aim of keeping the weighted average cost of capital of Inno$-$V$-$Tech Limited as low as possible, decide how much capital to raise from each source. Provide reasons for each amount. $5\mathrm{.}3$ Using the capital structure decided on in $(5\mathrm{.}2)$ calculate the weighted average cost of capital $($WACC$)$ of Inno$-$V$-$TechLimited. Round calculations off to two decimal places, where applicable.