Question 15 Tiny Tots has debt outstanding, currently selling for $900 per bond. It matures in 20 years, pays interestannually, and has a 11% coupon rate. Par is $1,000, and the firm's tax rate is 38%. What is the after-tax cost of debt? 8.95% O 8.25% 7.67% 9.58% Question 16 What is the after-tax cost of the following preferred equity? The par value of the preferred share is $100 and the annual dividend is 6 %. The preferred shares have no stated maturity. The current market price of the share is $70. Assume that the corporate tax rate is 30%. 9.58% 8.10% 8.57% 6% Question 17 If you have full information available that will allow you to compute the cost of common equity three ways, which should you use? the highest cost approach to protect the firm the lowest cost approach provides more options to the company the average of all of them a weighted average that puts greater weight on the method the analyst is most confident of