Aaron's Rentals has $58,000$ shares of common stock outstanding at a market price of $ $36$ a share. The common stock just paid a $ $1\mathrm{.}64$ annual dividend and has a dividend growth rate of $2\mathrm{.}8$ percent. There are $12,000$ shares of $6$ percent preferred stock outstanding at a market price of $ $51$ a share. The preferred stock has a par value of $ $100.$ The outstanding bonds mature in $17$ years, have a total face value of $ $750,000,$ a face value per bond of $ $1,000,$ and a market price of $ $1,011$ each. The bonds pay $8$ percent interest, semiannually. The tax rate is $34$ percent. $($i$)$ Compute the cost of debt after tax. $(2$ marks$)($ii$)$ Compute the cost of preferred stock. $(2$ marks$)($iii$)$ Compute the cost of Common stock. $(2$ marks$)($iv$)$ Compute the firm's weighted average cost of capital. $(8$ marks$)$Chick $\text{'}$ N Fish is considering two different capital structures. The first option consists of $25,000$ shares of stock. The second option consists of $15,000$ shares of stock plus $ $150,000$ of debt at an interest rate of $7\mathrm{.}5$ percent. Ignore taxes. Compute the break$-$even level of earnings before interest and taxes $($EBIT$)$ between these two options. $(4$ marks$)$ Consider the following financial statement information for Kirkwood United. Assume all sales are on credit. Compute how long is the cash cycle.