1. a. Before and after-tax cost of debt For the following $1,000-par-value bond paying semi-annual interest payments, calculate the before- and after-tax cost of debt. Use the 21%

corporate tax rate.

Issuer Name	Coupon Rate	Years to Maturity	Price
Boeing Co.	4.60%	18	$1,005.71

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The before-tax cost of debt for Boeing Co.is 1.861.86%. (Round to two decimal places.)

b. Cost of preferred stockDetermine the cost for the following preferred stock.(Click on the icon here

in order to copy the contents of the data table below into a spreadsheet.)

Par value	Sale price	Flotation cost	Annual dividend
$80.00	$76.80	$4.00	12%

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The cost of preferred stock is enter your response here%.......(Round to two decimal places.)