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 110 percent coupon rate and another bond with an 86 percent rate. The firm has been informed by its investment banker that bonds of equal risk and credit rating are now selang to yield 11 9 percent. The common stock has a price of $64 and an expected dividend (D) of $1.84 per share. The historical growth pattern is for dividends is as follows 1.53 1.54 The preferred stock is selling at 584 per share and pays a dividend of $8.00 per share. The corporate tax rate is 30 percent. The Hotation cost is 30 percent of the selling price for preferred stock. The optimum capital structure for the form is 25 percent dett. 20 percent preferred stock, and 55 percent common equity in the form of retained earnings a. Compute the average historical growth rate (Do not round intermediate calculations. Round your answer to the nearest whole percent and use this value as input your answer as a whole percent.) Both rate b. Compute the cost of capital for the individual components in the capital structure (Use the rounded whole percent computed in parte for g. Do not round any other intermediate calculations. Input your answers as a percent rounded to 2 decimal places) Weighted Cost Det Preferred stock Common Growth rate % b. Compute the cost of capital for the individual components in the capital structure (Use the rounded whole percent computed in part a for g. Do not round any other intermediate calculations. Input your answers as a percent rounded to 2 decimal places.) Debt Weighted Cost % Preferred stock Common equity c. Calculate the weighted cost of each source of capital and the weighted average cost of capital. (Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places.) Weighted Cost % Debt Preferred stock Common equity Weighted average cost of capital %