Analyze the cost of capital situations of the following cornpany cases, and answer the specific questions that finance professionals need to addreas. Consider the case of Turnbull Co. Tumbult co. has a target capital structure of 45% debt, 4% preferred stock, and 51% common equity. It has a before-tax cost of debt of 8.2%, and its cost of preferred stock is 9.3%. If Tumbull can raise all of its equity capital from retained earnings, ts cost of common equity will be 12.4%. Howevec, if it is necessary to raise new common equity, it will catry a cost of 14.2%. If its current tax rate is 25\%, how much higher will Tumbuils weighted average cost of capital (wacc) be if it has to raise adgational cornmon equily casital by tessing new common stock instead of raisino the funds through retained earnings? (Note: Round your intermedisate calculations to two decimal places) 0.92% 1.064 1.15% 1.244 Turnbull Co. is considering a project that requires an initial investment of $570,000. The firm will raise the $570,000 in capital by issuing $230,000 of debt at a before-tax cost of 8.7%,$20,000 of preferred stock at a cost of 9.9%, and $320,000 of equity at a cost of 13.2%. The firm faces a tax rate of 25%. What will be the WacC for this project? (Note: Round your intermediate calculations to three decimal places.) Consider the ase of Kuhn Co. Kuhn Co. is considering a new project that will require an initial investment of $45 million, It has a target capital structure of 58% debt, 6% preferred stock, and 36% common equity. Kuhn has noncallable bonds outstanding that mature in five years with a face value of $1,000, an annual coupon rate of 10\%, and a market price of $1,050.76. The yield on the company's current bonds is a good approximation of the yield on any new bonds that it issues. The company can sell shares of preferred stock that pay an annual dividend of $9 at a price of $92.25 per share. Kuhn does not have any retained earnings available to finance this project, so the firm will have to issue new common stock to help fund it. Its common stock is currently selling for $22,35 per share, and it is expected to pay a dividend of $1:36 at the end of next year. Flotation costs iwill represent 8% of the funds raised by issuing new common stock. The company is projected to grow at a constant rate of 8.7%, and they face a tax rate of 25%. What will be the wacc for this projech? (Note: Round your intermediate calculations to two decimal places.)