A privately$-$held firm is looking into getting listed on the Paris Stock exchange. It will join a group of competitors already listed. It has a large amount of debt but its debt load will be coming down in the coming years. To do as its peers it is planning to distribute a dividend, with a pay$-$out ratio of $30\%$ like its peers. The tax rate will remain unchanged. To value the shares, using the discounting of the Free Cash Flow to the Firm approach, the CFO needs to determine the adequate discount rate. To do this, she will need first to:

A$)$ Determine the Cost of Equity and the cost of debt and use the current relative weight of Equity and Debt in the total capital structure.

B$)$ Apply the tax rate to the expected dividends

C$)$ Determine the Cost of Equity based on the dividend yield of its listed peers $($because the dividends accrue to the shareholders$)$

D$)$ the Cost of Debt, because past a certain point the debt is the most important component of the total capital structure

E$)$ Determine the Cost of Equity and the cost of debt and use the relative weight of each in the future years.