1. A common stock currently sells for $23 per share. They anticipate a growth rate of 10.5% and a end of year dividend of $2.50. What is your expected rate of return? If you require 17% return, should you purchase the stock? 2.A company plans to maintain its debt structure in the furture if the firm has a 5.5% after tax cost of debt, a 13.5% cost of preferred stock and an 18% cost of common stock. What is thefirm's weighted average cost of capital (WACC)? Capital Structure(in K's) Bonds = $1,083 ; Preferred stocks = $268 ; Common Stock = $3,681 ; Total = $5,032