a) The current price of Harry Davis's 10 % coupon with semi-annual payment, with 15 years remaining to maturity is $3000. New bonds can be issued with $3000 face value. The cost of debt is 1%. The firm's tax rate is 35 %. b) The current price for preferred shares in the market is $170 and the perpetual annual dividend is $50. c) Harry Davis's common shares are currently selling at $35 per share, its last dividend (DO) was $5, and dividends are expected to grow at a constant rate of 3 % in the foreseeable future. d) Harry Davis's capital structure is 40 % long-term debt, 30 % preferred stock and 30 % common stock. (20 point) 4. Determine the cost of Common Stock - rs. 5. Calculate the WACC. (25 point)