6. 6: The Cost of Capital: Weighted Average Cost of Capital Quantitative Problem: Barton Industries expects that its target capital structure for raising funds in the fut 40% debt, 5% preferred stock, and 55% common equity. Note that the firm's marginal tax rate is 25%. Assume that the firm's cost of debt, 9.6%, the firm's cost of preferred stock, rp, is 8.8% and the firm's cost of equity is 12.2% for old equity, rs, and 12.8% for new equity, re. What is the firm's your answer to two decimal places. What is the firm's weighted average cost of capital (WACC 2 ) if it has to issue new common stock? Do not round intermediate calculations. Round your answer to two decimal places