Below information is given to the accountant manager at J&K inc.

Common Stock $2$ million shares outstanding$$$$30$ per share,

beta $=\mathrm{.}5$

Preferred stock $500,000$ shares outstanding $$50$ per share and the dividend per share is $$0\mathrm{.}75$

Bonds: $80,000$ bonds outstanding $$1,000$ face value for each bond$7\%$ annual coupon$10$ years to maturity$$Selling at $108\mathrm{.}25\%$ of face

Market risk premium: $7\%$

Risk free rate: $5\%$

Tax rate: $34\%$

Required:

$1.$ Compute the Cost of capital for common shares, preferred shares and the debt.

$2.$ Compute the WACC.

$3.$ If the flotation cost for common stock $8\%,$ for preferred stock $5\%$ and debt $2\%.$ What is the J&K$$s weighted average floatation costs?