A company finances its operations with 50 percent of debt. Its net income is RM30 million with dividend payout ratio of 20% and capital budget of RM40 million this year. The interest rate of the companys debt is 10% and tax rate is 40%. The companys common stock trades at RM66 per share and current dividend is RM4 per share expected to grow at a constant rate of 10% per year. The floatation cost of external equity, if issued is 5% of the total amount issued. a) Will the company has to issue external or internal equity? b) Define weighted average cost of capital (WACC). c) Calculate the companys weighted average cost of capital (WACC) by using the following