Quantitative Problem: Barton Industries expects that its target capital structure for raising funds in the future for its capital budget will consist of 40% debt, 5% preferred stock, and 55% common equity. Note that the firm's marginal tax rate is 25%. Assume that the firm's cost of debt, rd, is 9.4%, the firm's cost of preferred stock, rp, is 8.6% and the firm's cost of equity is 12.0% for old equity, rs, and 12.4% for new equity, rr. What is the firm's weighted average cost of capital (WACC 1 ) if it uses retained earnings as its source of common equity? Do not round intermediate calculations. Round your answer to two decimal places. % What is the firm's weighted average cost of capital (WACC2) if it has to issue new common stock? Do not round intermediate calculations. Round your answer to two decimal places. \%