This is my hw assignment. please send the answes in microsoft word file like you did the last time. Thank you

Chapter 9 Bonus Due Friday October 30, 2015 1. A company has outstanding 20-year bonds with a face value of $1,000, an 11% annual coupon, and a market price of $1,294.54. If the company was to issue new debt, what would be a reasonable estimate of the interest rate of that debt? If the company's tax rate is 40%, what is its after-tax cost of debt? If there is a $94.54 flotation cost what would the after-tax cost be? 2. Adams Corporation in considering four average-risk projects with the following costs and rates of return: Project Cost Expected Rate of Return 1 $2,000 16.00% 2 3,000 15.00 3 5,000 13.75 4 2,000 12.50 The company estimates that it can issue debt at a rate of r d=10%, and its tax rate is 30%. It can issue preferred stock that pays a constant dividend of $5.00 per year at $49.00 per share. Also, its common stock currently sells for $36.00 per share; the next expected dividend, D 1, is $3.50; and the dividend is expected to grow at a constant rate of 6% per year. The target capital structure consists of 75% common stock, 15% debt, and 10% preferred stock. a. What is the cost of each of the capital component? b. What is Adams' WACC? c. Only projects with expected returns that exceed WACC will be accepted. Which projects should Adams accept