B. Kuala Nerus Sdn Bhd is interested in measuring its overall cost of capital. The current investigation has gathered the following data. The firm's tax rate is 40%. i. Debt - the firm can raise debt by selling RM1,000-par value, 9% coupon interest rate, and 20 year bonds on which annual interest payment will be made. An average discount of RM30 per bond would have to be given to selling the issue. The firm also must pay a flotation cost of RM50 per bond. ii. Preferred stock - the firm can sell 8% preferred stock at its RM95 per-share par value. The cost of issuing and selling the preferred stock is expected to be RM5 per share. Preferred stock can be sold under these terms. iii. Common stock - the firm common stock is currently selling for RM90 per share. The firm expects to pay cash dividends of RM7 per share next year. The firm's dividend has been growing at an annual rate of 6%, which is expected to continue. The stock must be underpriced by RM7 per share, and flotation costs are expected to amount to RM5 per share. The firm can sell new common stock under these terms. iv. Cost of a new issue of common stock - when measuring this cost, the firm does not concern itself with the tax bracket or brokerage fees of owners. It expects to have available RM 100,000 of retained earnings in the coming year; once these retained earnings are exhausted, the firm will use new common stock as the form of common stock equity financing. Required: a. Calculate the after-tax cost of debt. (2 marks) b. Calculate the cost of preferred stock. ( 2 marks) c. Calculate the cost of retained earnings (2 marks) d. Calculate the cost of new common stock. (2 marks) e. Calculate the firm's weighted average cost of capital based on retained earnings and new common stock. Capital structure weights (long-term debt 10%, preferred stock 30%, and common stock 60%). (Answer - round up to 0.1% )