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A. The share price is $51.3 and there are 2.9 million shares outstanding. The share's recent annual dividend was $4.4 and the dividends are expected

A. The share price is $51.3 and there are 2.9 million shares outstanding. The share's recent annual dividend was $4.4 and the dividends are expected to grow indefinitely at 1.7% a year.

Calculate the cost of preferred share capital - to be scanned and sent. (2 points)

B. The company has 0.2 million preferred shares outstanding. They are priced at $65.5 and pay an annual dividend of $2.9.

Calculate the cost of equity - to be scanned and sent. (2 points)

C. The company has 25544 thousand bonds outstanding. These bonds have a par value of $1000, mature in 11 years and pay semi-annually with a coupon rate of 3.3%. The market price of these bonds is $1090.16. Assuming this represents all of the company's debt capital.

Calculate the pre-tax cost of debt - to be scanned and sent. (2 points)

D. Calculate the company's weights of equity, preferred, and debt capital - to be scanned and sent. (2 points)

E. Given a corporate tax rate of 25%, what is the company's weighted average cost of capital? (2 points)

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