(NOTE: This problem is using CAPM as the only method to find rE. The dividend growth model is not being used, so dividend information is not given) Step by Step Contractors has the following information: -A Beta of 0.75 -A current price of common stock of $30/ share, with 3M shares outstanding -A preferred dividend of $14 with a current price of preferred stock of $200, and 50,000 shares outstanding -Two bond issues. The first has 50,000 outstanding bonds with 10 years to maturity, paying a 4.61% coupon, and a current price of $940 and the second 50,000 outstanding bonds with 7 years to maturity, paying a 6.1% coupon, and a yield to maturity of 5.06%. Par value is $1000 for both bonds. (please round market values to nearest 0.1M ) -Step by Step's Tax Rate is 20% -The expected return on the market is 11% and the risk-free rate is 3% Using Excel find the WACC for Step by Step Contractors