Question: please answer all of the blank boxes in excel format 1. Compute the after-tax cost of bonds. 2. What is the cost of retained earnings,

1. Compute the after-tax cost of bonds. 2. What is the cost of retained earnings, first based on the DCF approach and then based on the CAPM approach using an average beta of peer groups as TSS' beta. Calculate the average of the two approaches. 3. What is 'TSS' cost of preferred stock? 4. Calculate the cost of new stock according to the DCF approach. 5. Calculate the weighted cost of capital for TSS assuming (a) only internal equity (retained earnings) is used in financing the equity portion of the new investment, and then (b) new common stock is issued to finance the firm's investments. \begin{tabular}{|c|c|c|c|c|c|} \hline & & Cost of Capital Sprea & heet Ex & & \\ \hline & & & & i. & \\ \hline Module IX & & & & Name: & Ma Weiss \\ \hline & & & & Date: & 10/26/23 \\ \hline & & & & & \\ \hline 1 & & & & & \\ \hline & Capital Structure & woight & cost & WACC & \\ \hline Bonds & 2,000,000 & & & & \\ \hline Preforred stock & 1,000,000 & & & & \\ \hline Common stock & 6,000,000 & & & & \\ \hline Total & 9,000,000 & & & & 1= SUM(E9:E11) \\ \hline & & & & & \\ \hline11 & After-tax cost of bonds: & Semi-Annual YTM= & & & \\ \hline & & Annual YTM= & & & \\ \hline & & Cost of Bonds= & & & \\ \hline 112 & Cost of rotained earnings: & & & & \\ \hline & & DCF approach & & & \\ \hline & & CAPM approach & & & Average beta = \\ \hline & & Average & & & \\ \hline 113 & Cost of preferred stock & & & F & \\ \hline 114 & Cost of New Common Stock & & & & \\ \hline & & & & & \\ \hline 115a & Amount & Woight & Cost & WACC & \\ \hline Bonds & 2,000,000 & & & & 2 \\ \hline Preferred Stock & 1,000,000 & & & & \\ \hline Rotained earnings & 6,000,000 & & & & \\ \hline Total & 9.000,000 & & & & \\ \hline & & & & & \\ \hline 11.5b & Amount & Woight & Cost & WACC & \\ \hline Bonds & 2,000,000 & + & & & \\ \hline Preferred Stock & 1,000,000 & & & & \\ \hline New Common Stock & 6,000,000 & & & & \\ \hline Total & 9,000,000 & & & & \\ \hline & & & & & \\ \hline & & & & & \\ \hline & & & & & \\ \hline & & & & & \\ \hline 10 & & & & & \\ \hline & & & & & \\ \hline \end{tabular}
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