Xingwedzi Ltd is currently has a total capital employed R$100$m at the beginning of the current year. The company has a capital structure of $60\%$

equity, $10\%$ preference shares and $30\%$ debt. The company expects to have net profit after tax of R $15m$ at the end of the year. It is expected

that the company maintain its traditional dividend payout ratio of $30\%.$ The company incurred floatation costs of $10\%$ on any new equity raised.

New preference shares and debt can be raised at existing rates, with no floatation costs.

Required:

Assuming the company wishes to maintain its current capital structure, however it wishes to raise sufficient capital to enable it to meet all of its

planned capital expenditure. Calculate what increase in total capital expenditure be before its WACC increases? $($breakeven analysis$)$