A.Rod Manufacturing Company is trying to calculate its cost of capital for use in making a capital budgeting decision. Mr. Jeter, the vice president of finance, has given you the following information and has asked you to compute the weighted average cost of capital. The company currently has outstanding a bond with a 11.0 percent coupon fate and another bond with an 8.6 percent rate. The firm has been informed by its investment banker that bonds of equal risk and credit rating are now selling to yleld 11.9 percent. The common stock has a price of $64 and is as follows: sted dividend (D1) of $1.84 per share. The historical growth pattern (g) for dividends $1.39 1.53 1.68 1.84 The preferred stock is selling at $84 per share and pays a dividend of $8.00 per share. The corporate tax rate is 30 percent. The fiotation cost is 3.0 percent of the selling price for preferred stock. The optimum capital structure for the firm is 25 percent debt. 20 percent preferred stock, and 55 percent common equity in the form of retaned earnings. 0. Compute the average historical growth rate Note: Do not round intermediate calculations. Round your answer to the nearest whole percent and use this volue as g. Input your answer os a whole pereent. b. Compute the cost of capital for the individual components in the capital structure. b. Compute the cost of capital for the indlvidual components in the capital structure. Note: Use the rounded whole percent computed in part o for g. Do not round any other intermediate calculations. Input your answers os a percent rounded to 2 decimal places. c. Calculate the weighted cost of each source of capital and the weighted average cost of capital. Note: Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places