(b). The capital structure for the XYZ Corporation is as detailed here below: Capital Structure (5000) Capital Structure Amount Bonds $2,500 Preferred Stock 500 Common Stock $10,000 7.000 XYZ has a 6 percent before tax cost of debt, a 15 percent cost of preferred stock, and a 20 percent cost of common stock. The company intends to maintain the current capital structure in future. Required: 1. Compute the firm's weighted average cost of capital (WACC). II. If the required rate of return is 10 percent, should the firm maintain the current capital structure? Explain why or why not