1. Shasha & Co. has decided to expand its business and it needs RM5 million. Three sources of financing are available: o Issue long-term debt that is currently selling for 103% of its par value. The issue matures in 15 years and pays an annual coupon rate of 8%. The tax rate is 35%. The firm can issue RMIOO par preferred stock with a 14% dividend. The stock is selling in the market for RM96 and floatation cost is 5% of the market price. The firm is expected to pay a dividend of RM2.00 per share. The dividend is expected to grow at a rate of 7% constantly. The current market price for the share is RM55. Calculate the after-tax cost for i) Debt ii) Preferred stock III) Equity