ABC's capital structure is made of 50% ordinary shares; 35% preference share and 15% debt, cost of debt is 9 per cent. The next dividend on ABC ordinary share will be $2 per share, these dividends are expected to grow at the rate of 3% p.a., in perpetuity. The current price of ABC ordinary share is $12.5. The current price of ABC preference share is $10 with a dividend of $1.10 a share. The corporate tax rate is 30%. Calculate ABC's Weighed Average Cost of Capital (WACC). A B I !!! 80