A firm is planning to raise capital through selling securities$.$ The choices are:

$600$ bonds, each with a $$1000$ par value, $6\%$ coupon rate, and $20$ year maturity. Bondholders are believed to have a $7\%$ required rate of return

$7000$ shares of preferred stock with a par value of $$80$ and dividend rate of $8\%.$ Preferred shareholders are believed to have a $9\%$ required rate of return

$10,000$ shares of common stock with an expected dividend next period of $$1\mathrm{.}50$ and an expected growth rate of $5\%.$ Common stockholders are believed to have an $11\%$ required rate of return.

Ignoring flotation costs and assuming they will issue only one of these, which security should the firm choose to raise the most capital? Show all your calculations in determining the best option.