14 PLEASE USE ONE OF THE FORMULAS PROVIDED

Cost of Common Equity kcs=PcsD1+g Cost of Preferred Equity kps=PpsDivps Cost of Debt After-tax cost of debt = Yield-to-Maturity * (1 tax rate ) Weighted Average Cost of Capital (WACC) 14) Tequila Trading Co. is considering a project that will generate the following annual sales and costs: What are the annual operating cash flows for this project: $158,500 $224,500 $325,000 $214,500