Assume the companys tax rate is 21 percent.

Debt:	16,000 6.2 percent coupon bonds outstanding, $1,000 par value, 25 years to maturity, selling for 108 percent of par; the bonds make semiannual payments.
Common stock:	535,000 shares outstanding, selling for $81 per share; beta is 1.20.
Preferred stock:	20,000 shares of 4.2 percent preferred stock outstanding, currently selling for $92 per share. The par value is $100.
Market:	7 percent market risk premium and 3.1 percent risk-free rate.

a) What is the firm's cost of equity?

b) What is the firm's cost of preferred stock?

c) What is the firm's cost of after-tax cost of debt?